§ 685.010.Rate of Interest

Title 9. Enforcement of Judgments · Division 1 · Chapter 5. Interest and Costs · Last amended 2024 · Last verified July 28, 2026

In one sentenceSection 685.010 sets post-judgment interest at 10 percent per year on an unsatisfied money judgment's principal, reduces that rate to 5 percent for judgments entered or renewed on or after January 1, 2023 on qualifying medical-expense claims under $200,000 or personal-debt claims under $50,000, and reserves the Legislature's right to change the rate prospectively.

Full Text of § 685.010

Text sizeJump to: (a) (b)

(a)

(1) Except as provided in paragraph (2), interest accrues at the rate of 10 percent per annum on the principal amount of a money judgment remaining unsatisfied.

(2)

(A) For judgments entered on or after January 1, 2023, or where an application for renewal of judgment is filed on or after January 1, 2023, interest accrues at the rate of 5 percent per annum on the principal amount of a money judgment remaining unsatisfied in the following cases:

(i) The principal amount of a money judgment of under two hundred thousand dollars ($200,000) remaining unsatisfied against a debtor for a claim related to medical expenses.

(ii) The principal amount of a money judgment of under fifty thousand dollars ($50,000) remaining unsatisfied against a debtor for a claim related to personal debt.

(B) The claims specified in subparagraph (A) include, but are not limited to, a claim based on any of the following transactions:

(i) An agreement governing the use of a credit card as defined in subdivision (a) of Section 1747.02 of the Civil Code.

(ii) A conditional sale contract as defined in subdivision (a) of Section 2981 of the Civil Code.

(iii) A deferred deposit transaction as defined in subdivision (a) of Section 23001 of the Financial Code.

(i) "Debtor" means a natural person from whom money is due or owing or alleged to be due or owing.

(ii) "Due or owing" does not include debts incurred due to or obtained by tortious or fraudulent conduct or judgments for unpaid wages, damages, or penalties owed to an employee.

(iii) "Personal debt" means money due or owing or alleged to be due or owing from a natural person arising out of a transaction in which the money, property, insurance, or services which are the subject of the transaction are primarily for the debtor's personal, family, or household purposes.

(b) The Legislature reserves the right to change the rate of interest provided in subdivision (a) at any time, regardless of the date of entry of the judgment or the date any obligation upon which the judgment is based was incurred. A change in the rate of interest may be made applicable only to the interest that accrues after the operative date of the statute that changes the rate.

End

Plain-English Summary

Ten percent has long been California's standard rate for interest accruing on the unpaid principal of a money judgment, and subdivision (a)(1) keeps that rate as the default. Subdivision (a)(2) carves out a lower 5 percent rate for two categories of consumer judgments — a medical-expense claim under $200,000, or a personal-debt claim under $50,000 — but only for judgments entered, or renewal applications filed, on or after January 1, 2023.

Subdivision (a)(2)(B) illustrates what "personal debt" can include: credit card agreements, conditional sale contracts, and deferred deposit (payday loan) transactions all fit the profile. Subdivision (a)(2)(C) supplies the same definitions used in § 683.110 for "debtor," "due or owing," and "personal debt" — keeping the interest-rate reduction aligned with the renewal limits that section imposes on the same category of judgments.

Subdivision (b) reserves the Legislature's authority to change the interest rate at any time, for any judgment regardless of when it was entered or when the underlying obligation arose — but any rate change only applies to interest accruing after the new statute takes effect, not retroactively to interest already accrued.

Frequently Asked Questions

What is the standard post-judgment interest rate in California?

10 percent per year on the unsatisfied principal amount of the money judgment, under § 685.010(a)(1).

When does the lower 5 percent rate apply?

To judgments entered, or renewal applications filed, on or after January 1, 2023, on qualifying medical-expense claims under $200,000 or personal-debt claims under $50,000.

What kinds of debts count as "personal debt" for the lower rate?

Money owed by a natural person from a transaction primarily for personal, family, or household purposes, including credit card agreements, conditional sale contracts, and payday-style deferred deposit transactions.

Can the Legislature change the interest rate later?

Yes, subdivision (b) reserves that right, but any rate change applies only to interest accruing after the new statute's operative date, not to interest already accrued.

Amendment History

Amended by Stats 2023 ch 131 (AB 1754),s 21, eff. 1/1/2024. Amended by Stats 2022 ch 883 (SB 1200),s 6, eff. 1/1/2023. Repealed and added by Stats. 1982, Ch. 1364, Sec. 2. Operative July 1, 1983, by Sec. 3 of Ch. 1364.

Source & verification. Section text is reproduced verbatim from the California Legislative Information. Enacted by the California Legislature. Last verified July 28, 2026. · Official source

Also known as: california judgment interest rate10 percent post judgment interest california5 percent interest medical debt judgment