Debt enforcement law : Calculation of the interests of a debt, how to do?

Are you claiming money from a debtor? You don’t know how to calculate the interest on this debt? This article explains how to do it!
In principle, the law requires the application of an interest rate on any debt as soon as the repayment period set by the creditor has expired.
The legal interest rate on a debt is 5% per year. This amount can be freely modified in the loan contract between the creditor and the debtor. In the absence of precision, the rate of 5% is applied.
When does the interest calculation start?
The creditor can claim interest as soon as the repayment period has expired if there is a formal notice.
If the debts are interest or annuity debts or if the debtor has made an explicit promise to return the money, then the interest calculations will start from the beginning of a debt collection procedure. The date of receipt of the order to pay will then be decisive.

What are the conditions for applying interest?
The sum must be due ;
The debtor has no valid reason for non-payment of the debt;
The creditor must have called out the debtor to no avail.

How to calculate the interest on a debt?
It is up to the creditor to draw up the payment plan, which the debtor will have to settle at the debt collection office.
You can ask the debt collection office to calculate the total amount to be paid back, including interest and any costs.
This information is necessary for the calculation:
The amount due
The interest rate
The day from which interest is counted
The day from which the interest is no longer calculated, at the opening of the bankruptcy proceedings

Are you afraid of making a mistake or do you need to establish your payment plan? Still don’t know how to do it? Don’t panic: Lawrence will assist you in your legal steps!

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