legal Interest rates

Hi,

I'm trying to find out the legal interest rates in Spain for 2016 -2018. Anyone know where I can find them? I can get up to 2015 but nothing after. Cheers

The legal interest rate for 2016 and 2017 was 3%. NB there are different rates, so the rate for delayed tax payments is plus 25%, so 3.75%. I believe its the same for 2018.

Thanks Kathy.

Maria,

is this the yearly interest rate that should be applied to deposits paid back by the banks?

Thanks in advance Ian

Ian, yes these Are the interest rates that they use for the off plan deposit interest. It's not compound interest though, so each year is separate.

Yes, and Courts need to add to  the judicial delay interest of 576 of Civil Procedure Act:

Since first instance decission is issued and this is condemning to the payment of a liquid amount of money, the accrual of an annual interest equal to the legal interest of the money increased by two points or that  which corresponds by agreement of the parties or by special provision of the law starts in favor of the creditor.

Maria what does this mean, the courts need to add the judicial delay interest?

Thanks in advance.

Ian

Ian and Margaret:

It means that regardless the claimant asks for it or not, the judge needs to apply this interests since First Instance Court decision

Hope this helps

M

Hi Maria thanks for your help but Im still not sure what it is. Is it an extra payment or is it inclusive of the rates that you put on here.

Thanks again Ian

It's added to the current legal interest percentage, which is 3%. So, you now get 5%. The extra 2% is effectively a penalty for extending the judicial process, which seems to be an effort to speed things up. I'm not sure if this is a new rule, as it's first I've heard of it.

Fazarelli´s answer is completely accurate. Just to add that the judicial delay interests are added to the legal interests attached to the refund.

Morning Maria,

so are the interest added together or is the delay interest a percentage of the interest for each year. 

Regards Ian

The additional interest is for the total deposit and stage payments amount, starting from the date of the first judgement. It's not backdated for all the other years. 

Maria , Fazarelli,

The interest I was awarded was confusing to me, however I now realise that the way it has been calculated is as follows.

For each year the interest is worked out i.e. 2005 was 4%. So multiply the deposit by 4%. i.e..if deposit was 50000 Euros the interest for this year would be 2000. This figure is then multiplied by the delay interest which was 3% which is 60 Euros, so the total for 2005 is 2060 Euros.

My one concern is that the delay interest in the table posted by Maria is very different to the one supplied by my lawyer which was for 3% for each year.

Appreciate any comments Maria.

Regards Ian

Table I have posted is of Zaragoza Bar Association

Kind regards

Maria

Maria does each region of Spain have different tables then? We were at court in Alicante.

Regards Ian

No, these rates are national

M

Maria,

Are those interest rates for offplan deposits the 'Cash/Dinero' ones or the 'Delay/Demora' ones?

I'm assuming it's the 'Cash' one....

Yes, they are remuneratory interests ( Cash/ Dinero as you say), then Judges add delay Court interests from day of Court Decission.