Arkansas Prejudgment Interest Rate
United States Arkansas prejudgment interest — a formula rate, reset periodically.
Set by statute Formula rate
Arkansas prejudgment interest is currently 5.75% per year — a statutory formula rate under Ark. Code Ann. § 16-65-114(a)(1) that resets periodically. Prejudgment interest is allowed ONLY when the amount of damages is definitely/reasonably ascertainable at the time of loss — i.e., fixed by a mathematical computation or by rules of…
When Arkansas prejudgment interest applies
Prejudgment interest is allowed ONLY when the amount of damages is definitely/reasonably ascertainable at the time of loss — i.e., fixed by a mathematical computation or by rules of evidence/known standards WITHOUT reliance on opinion or the fact-finder's discretion (Woodline Motor Freight v. Troutman Oil, 327 Ark. 448 (1997)). So: liquidated/ascertainable contract debts, conversion of property with a market value, and similar claims DO get it.
When it starts accruing
Accrues from the date of the loss/injury (the date the ascertainable amount was owed or the property was taken/damaged), running up to the date of judgment. It does not accrue until/unless damages became definitely ascertainable.
Simple or compound
Simple.
How the rate is set
Greater of (a) contract rate or (b) Federal Reserve primary credit rate on the judgment date + 2%. All other (non-contract/tort) actions: Federal Reserve primary credit rate on the judgment date + 2%.
→ Compare with the Arkansas post-judgment interest rate (interest after judgment)
Prejudgment interest under Ark. Code Ann. § 16-65-114(a)(1) — 5.75% (simple interest). This is PREjudgment interest (accruing before entry of judgment) and is separate from Arkansas’s post-judgment rate; availability is limited by claim type (see the page). Current formula value as of 2026-07-09; verify at codes.findlaw.com. Not legal advice.
Effective-date history
| Effective date | Rate | Basis |
|---|---|---|
| July 9, 2026 | 5.75% | Statute |
Source & provenance
Latest value retrieved July 10, 2026 (02:55 UTC) from the official source:
https://codes.findlaw.com/ar/title-16-practice-procedure-and-courts/ar-code-sect-16-65-114/