Pennsylvania Prejudgment Interest Rate
United States Pennsylvania’s prejudgment interest rate — when a court awards it.
Set by statute Fixed by statute
Pennsylvania prejudgment interest is 6% per year, as simple interest under 41 P.S. Sec. 202. Highly claim-type dependent. CONTRACT: prejudgment interest is awarded AS OF RIGHT only when damages are liquidated/ascertainable (e.g., a sum certain / definite invoice amount due at…
When Pennsylvania prejudgment interest applies
Highly claim-type dependent. CONTRACT: prejudgment interest is awarded AS OF RIGHT only when damages are liquidated/ascertainable (e.g., a sum certain / definite invoice amount due at breach) at 6% under 41 P.S. Sec. 202; for unliquidated contract damages the award of prejudgment interest is DISCRETIONARY with the trial court (Pa. courts, Restatement (Second) of Contracts Sec. 354).
When it starts accruing
CONTRACT (liquidated): from the date payment was due / the money became owed (e.g., invoice due date or date of breach). TORT (Rule 238): from a date ONE YEAR after the date original process was first served in the action, up to the date of the award, verdict, or decision.
Simple or compound
Simple (not compounded) under both regimes; Rule 238 expressly states "not compounded," and the 41 P.S. Sec. 202 legal rate is applied as simple interest.
→ Compare with the Pennsylvania post-judgment interest rate (interest after judgment)
Prejudgment interest under 41 P.S. Sec. 202 — 6% (simple interest). This is PREjudgment interest (accruing before entry of judgment) and is separate from Pennsylvania’s post-judgment rate; availability is limited by claim type (see the page). Verify against the statute text. Not legal advice.
Effective-date history
| Effective date | Rate | Basis |
|---|---|---|
| July 9, 2026 | 6% | Statute |
Source & provenance
Latest value retrieved July 10, 2026 (02:55 UTC) from the official source:
https://www.pacodeandbulletin.gov/secure/pacode/data/231/chapter200/s238.html