What is the Indiana prejudgment interest rate?

As of July 9, 2026, Indiana Prejudgment Interest Rate is 8% per year. Indiana prejudgment interest is discretionary — here is the rate courts apply.

Indiana Prejudgment Interest Rate

United States Indiana prejudgment interest is discretionary — here is the rate courts apply.

Current rate

8% per year — the rate courts apply when prejudgment interest is awarded
Set by statute Discretionary

In Indiana, prejudgment interest is discretionary: a court may award it, and when it does the rate is 8% per year under Contract/liquidated: IC 24-4.6-1-103. CONTRACT/liquidated money claims (IC 24-4.6-1-103): prejudgment interest at 8% is available AS A MATTER OF RIGHT (not discretionary) only where damages are complete and ascertainable as of…

When Indiana prejudgment interest applies

CONTRACT/liquidated money claims (IC 24-4.6-1-103): prejudgment interest at 8% is available AS A MATTER OF RIGHT (not discretionary) only where damages are complete and ascertainable as of a fixed time by fixed rules of evidence/known standards of value (common-law Roper rule) — i.e., liquidated/readily-computable sums (written instruments not specifying a rate, accounts stated, closed accounts, money had and received). Unliquidated damages requiring judgment/discretion to fix the amount do NOT qualify.

When it starts accruing

Contract (IC 24-4.6-1-103): accrues from the date money became due / date of demand — e.g., date of settlement on money due on a written instrument without a stated rate, or the date an itemized bill was rendered and payment demanded on accounts stated/closed accounts/money had and received.

Simple or compound

Simple. Tort statute (IC 34-51-4-9) expressly requires the court to compute prejudgment interest "at the simple rate." Contract-claim prejudgment interest (IC 24-4.6-1-103, 8%) is likewise applied as simple interest.

→ Compare with the Indiana post-judgment interest rate (interest after judgment)

Prejudgment interest under Contract/liquidated: IC 24-4.6-1-103 — 8% (simple interest). This is PREjudgment interest (accruing before entry of judgment) and is separate from Indiana’s post-judgment rate; availability is limited by claim type (see the page). Verify against the statute text. Not legal advice.

Effective-date history

1 data point on record. Full history in the JSON API.
Effective date	Rate	Basis
July 9, 2026	8%	Statute

Source & provenance

Latest value retrieved July 10, 2026 (02:55 UTC) from the official source:
https://iga.in.gov/laws/2024/ic/titles/24#24-4.6-1-103

Reference data only — not legal, tax, or financial advice. Always confirm the controlling value against the official source and, where applicable, the governing statute or court before relying on it.