Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Statutory Interest Rate Changes

Tuesday, 18 June 2002

The interest rate courts can award for the recovery of debts or damages will be reduced to bring it into line with current market borrowing rates, Associate Justice Minister Margaret Wilson said today.

The new rate of 7.5 per cent will take effect from 1 August 2002.

“A review of the interest rates set down in certain statutes was long overdue,” Margaret Wilson said. “Most are currently set at 11 per cent while first mortgage interest rates average 7.75 per cent.”

The Judicature Act 1908, the District Courts Act 1947, the Disputes Tribunals Act 1988, allow the courts and the Disputes Tribunal (as appropriate) to award interest, not exceeding the "prescribed" rate (currently 11 per cent), for the recovery of debts or damages. The Trustee Act 1956 provides for the recovery of interest (currently six per cent) for trustees who pay insurance policy premiums. In all cases interest is simple, not compound. These statutes also allow the Governor-General in Executive Council to adjust the set rates.

Margaret Wilson said the change is also necessary because the rate set down in the Judicature Act is used by a number of other statutes. These include the Companies Act; Injury Prevention, Rehabilitation, and Compensation Act; Land Transfer Act; Life Insurance Act; Maori Reserved Land Amendment Act 1997; Mutual Insurance Act; and the High Court Rules.

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines

Gordon Campbell: On The Tax Working Group’s Road Map

Trying to analyse the interim report on the Tax Working Group (TWG) is like trying to review an entire All Blacks game, but at the half- time mark.

With so much still to be finalised, Sir Michael Cullen and his colleagues are going to need all the All Blacks’ fabled finishing skills to get a coherent, fiscally neutral package together by the February 2019 deadline. More>>

 

Meth Testing Report: Housing NZ "To Right Wrong"

Phil Twyford “Housing NZ acknowledges that around 800 tenants suffered by either losing their tenancies, losing their possessions, being suspended from the public housing waiting list, negative effects on their credit ratings or, in the worst cases, being made homeless.” More>>

ALSO:

No Reshuffle: Meka Whaitiri Removed As A Minister

Meka Whaitiri will be removed as a Minister with immediate effect... The decision was made after receiving a report into an incident that occurred on 27 August in Gisborne, involving Meka Whaitiri and one of her staff. More>>

ALSO:

Pay Equity Bill: Making History For Women’s Pay

The Equal Pay Amendment Bill, introduced to the House today, will make it easier for workers to make a pay equity claim , using a more simple and accessible process within New Zealand’s existing bargaining framework. More>>

ALSO:

Suffrage 125: NZ A Trailblazer For Women

“We acknowledge the work of Kate Sheppard, Meri Te Tai Mangakāhia, and all of the suffragists who tirelessly campaigned for the vote… Today we also need to ask each other: how we can continue to make our country a fairer and better place to continue the legacy of the suffragists.” More>>

ALSO:

Asylum: Refugee Quota Increasing To 1500

“The quota increase will take place from July 2020. In the meantime, we will work to increase the number and spread of refugee resettlement and support services. We need to make sure we’re prepared for this change in policy.” More>>

ALSO:

 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels