Interest Rate Changed to 10.75% ito the Prescribed Rate of Interest Act

📣 Update for all legal professionals

The prescribed rate of interest under the Prescribed Rate of Interest Act 55 of 1975 has changed to 10.75% per annum, effective from 1 July 2025.

The Minister has published a notice updating the prescribed rate of interest in terms of the Prescribed Rate of Interest Act, 55 of 1975. As of 1 July 2025, the new rate is:

🔺 10.75% per annum

This rate affects your summons, particulars of claim, default judgments, and settlement calculations.

It’s essential that all legal documents, settlement agreements, and financial calculations are updated to reflect this change. Outdated interest rates may lead to underpayments or disputes in both litigation and commercial contexts.

For a history of previous interest rates, visit: https://lnkd.in/d8ms43JH.

💡 Tip: Consider reviewing your precedent documents and templates to ensure compliance.

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