Louisiana Prejudgment Interest Rate
United States Louisiana prejudgment interest — the same rate as its post-judgment interest.
Set by statute Same rate as post-judgment
Louisiana applies the same rate to prejudgment interest as to post-judgment interest — currently 7.5% per year under La. R.S. 13:4202. Louisiana is notably BROAD/permissive — prejudgment "judicial interest" is available and generally MANDATORY across claim types, unlike most states.
When Louisiana prejudgment interest applies
Louisiana is notably BROAD/permissive — prejudgment "judicial interest" is available and generally MANDATORY across claim types, unlike most states. TORT (ex delicto): R.S. 13:4203 uses "shall" — legal interest attaches by operation of law from date of judicial demand on ALL judgments sounding in damages ex delicto, INCLUDING unliquidated/damages claims (not barred). Courts and parties cannot alter the start date; it runs automatically.
When it starts accruing
Depends on claim type. TORT (ex delicto): from the date of JUDICIAL DEMAND (filing of suit) per R.S. 13:4203, mandatory. CONTRACT / sum of money: from the time the sum is DUE (which may predate suit) per Civ. Code art. 2000.
Simple or compound
Simple interest (Louisiana judicial interest is computed as simple interest; the statute sets an annual rate applied per annum without compounding).
How the rate is set
Variable, reset annually. Under R.S. 13:4202(B), on the first business day of October the Commissioner of Financial Institutions ascertains the Federal Reserve Board of Governors' approved "discount rate" (as published in the Wall Street Journal) and adds three and one-quarter (3.25) percentage…
→ Compare with the Louisiana post-judgment interest rate (interest after judgment)
Prejudgment interest under La. R.S. 13:4202 — 7.5% (simple interest). This is PREjudgment interest (accruing before entry of judgment) and is separate from Louisiana’s post-judgment rate; availability is limited by claim type (see the page). Current formula value as of 2026-01-01; verify at ofi.la.gov. Not legal advice.
Effective-date history
| Effective date | Rate | Basis |
|---|---|---|
| January 1, 2026 | 7.5% | Statute |
Source & provenance
Latest value retrieved July 10, 2026 (02:55 UTC) from the official source:
https://ofi.la.gov/legal/statutes-rules-policies-opinions/judicial-interest-rates/