You forgot an invoice among your office paperwork and now you receive an invoice from the company that provided you with services for an exorbitant amount! Looking more closely, you understand that this amount is due to an interest rate of more than 20% which was added to the original amount! But are these interests legal? The legislator intervened by adopting the Law on Interest in order to regulate the possible abuses that companies can exercise by imposing interest rates as they wish. Indeed, it is permitted to stipulate, or require, an interest rate in a contract.

Provided for in the agreement You understand, it must be provided for in the agreement you signed with your supplier for any interest to apply. Without a contract that clearly provides for an interest rate, it is not allowed to simply add interest to the invoices and account statements that we send you.

In addition to the interest must be provided for, the rate must also be agreed between the parties. If interest is clearly provided for according to your contract, but the rate is not indicated, the rate will then be 5% per year. In addition to clearly indicating it, the contract must state the annual and not monthly interest rate. If there is no mention of a clear annual rate, then the default rate of 5% will apply.

Maximum rate of 60% - Please note that the maximum annual rate provided for by law is 60%, beyond that, it is an offense punishable by the Criminal Code. Finally, if you have paid this amount even though the legal provisions have not been respected, you can recover your money or deduct it from the amounts that you actually owe to this company, because if you are asked for interest which does not are not due... don't pay them!