Effective July 1, 2018, the Court Order Interest Rates have increased. The Court Order Interest Act, R.S.B.C. 1996, c. 79, provides for the payment of pre-judgment and post judgment interest at a prescribed rate. These rates can be changed up to twice a year, on January 1st and July 1st.
Effective July 1, 2018:
- the Banker’s Prime Rate is 3.45% (increased from 3.20%);
- Interest earned on funds held under Rule 23-4(6) (funds held in Court) is 1.45% (increased from 1.20%);
- pre-judgement interest will accrue at a rate of 1.45% (up from 1.20%); and
- the interest rate post-judgment is 3.45% (increased from 3.2%).
The first change in rates since January 1, 2016 was on January 1, 2018. The July 1, 2018 changes represent the second consecutive increase and a substantial change from the rates in effect this time last year. The higher rates could have a significant impact on large damage awards.
A link to the historic interest rates can be found here.