Missouri Prejudgment Interest Rate
United States Missouri prejudgment interest — a formula rate, reset periodically.
Set by statute Formula rate
Missouri prejudgment interest is currently 8.75% per year — a statutory formula rate under Mo. Rev. Stat. § 408.040 that resets periodically. Prejudgment interest is NOT freely available; it is claim-type restricted.
When Missouri prejudgment interest applies
Prejudgment interest is NOT freely available; it is claim-type restricted. (1) TORT actions (§ 408.040.2): available ONLY if the claimant made a written demand/settlement offer sent by certified mail return receipt, accompanied by a signed affidavit describing the claim, injuries, and a computation of damage categories with supporting documentation (medical provider list, bills, employer list and authorizations for PI/wrongful-death wage claims), the demand references § 408.040 and stays open 90 days, the suit is…
When it starts accruing
TORT (§ 408.040.2): accrues from a date 90 days AFTER the demand/offer was received (per certified-mail return receipt), OR from the date the demand/offer was rejected without a counteroffer, whichever is earlier.
Simple or compound
Simple. The statute states a per annum rate and does not authorize compounding; Missouri courts apply § 408.020 and § 408.040 prejudgment interest as simple interest.
How the rate is set
TORT (variable): intended Federal Funds Rate (Federal Reserve Board) + 5.00%. Current = 3.75% (target-range upper limit, July 2026) + 5% = 8.75%. Note a distinct sub-rule: a judgment FOR prejudgment interest, once entered, bears interest at Fed Funds + 3% (that is the rate on the interest-judgment…
→ Compare with the Missouri post-judgment interest rate (interest after judgment)
Prejudgment interest under Mo. Rev. Stat. § 408.040 — 8.75% (simple interest). This is PREjudgment interest (accruing before entry of judgment) and is separate from Missouri’s post-judgment rate; availability is limited by claim type (see the page). Current formula value as of 2026-07-09; verify at revisor.mo.gov. Not legal advice.
Effective-date history
| Effective date | Rate | Basis |
|---|---|---|
| July 9, 2026 | 8.75% | Statute |
Source & provenance
Latest value retrieved July 10, 2026 (02:55 UTC) from the official source:
https://revisor.mo.gov/main/OneSection.aspx?section=408.040