How to Add Accrued Interest to Your Judgment

If a debtor owes you money and you previously won a lawsuit against the individual, the court awarded you a judgment. Not only does a judgment provide you with more powerful collection options, such as garnishment and liens, each state allows creditors to add annual interest charges to the judgment amount that remains unpaid. The court that awarded your judgment does not add interest charges automatically each year. Thus, you must annually file a claim with the court to ensure that the debtor is responsible not only for the original debt, but for the accrued interest.

Instructions

1

Read the judgment collection statutes for your state. The collection statutes will inform you how much interest you can add to the unpaid portion of the judgment each year. If your state's collection statutes are not available online, request a copy from the court that originally awarded the judgment.

2

Visit the courthouse and ask the court clerk for a Memorandum of Costs After Judgment form. The exact title of this form may vary, depending on your state of residence.

3

Fill out the form. List your name, the debtor's name, the case number, the unpaid judgment amount and the interest charges that have accrued since the court awarded the judgment or since you last updated the judgment's interest. Make a copy of the completed form for your own records.

4

Attach copies of any documentation you have proving the unpaid judgment amount if your state requires it.

5

Return the completed form and supporting documentation to the court clerk. The court will then review the case and update the legal judgment amount to reflect the new interest charges.