The amount of interest for using someone else's money. Interest on the use of other people's funds

In this article we will talk about the consequences of untimely fulfillment of a debt obligation - as they are presented by the Civil Code of Russia. We will also tell you in detail how to calculate interest for using other people’s in cash.

Letter of the law

All the information we need is contained in Art. 395. Let's consider what the Civil Code says about interest on the use of other people's funds:

• If a person unlawfully withholds someone else's money, evades repaying it to the lender, or is late in repaying the debt, interest is additionally charged on the amount of his loan, which is also mandatory for payment. Their size is determined by the current Central Bank key rate for the current period (from 5 to 17%). The stated rules are valid if the agreement between the creditor and the creditee does not imply a different amount of interest for the use of other people's funds.
• If the losses suffered by the lender due to the untimely return of the debt to him, more than the amount interest from the previous paragraph, then he has every right to demand from the borrower full repayment of his losses.
• Interest is accrued for the use of someone else's money up to and including the day the full amount is returned to the creditor, unless the debt agreement or other legislative acts provide for a different period.
• If the agreement between the lender and the borrower stipulates a penalty for improper execution of this agreement or complete disregard for it, then the interest from the first paragraph is not recovered from the debtor. Given the fact that there are no other conditions in the contract document specifically regarding this circumstance.
• The accrual of compound interest for the use of other people's funds (adding interest on interest) is not permitted under this article if this fact does not pre-enter a contract or other legislative act.
• If the amount of accrued interest clearly does not correspond to the severity of the violation of the debt obligation, then the court, at the request of the borrower, can reduce it to more reasonable limits. However, even in this case, interest on the use of other people’s funds should not be lower than those specified in the first paragraph - established at a fixed rate for loans from the Central Bank of the Russian Federation.

Now let's move on to calculating such a fine and the information necessary for this.

Calculation of interest for the use of other people's funds

In order to use the provisions of the announced article of the Civil Code of the Russian Federation on in real life, you need to determine the following points:

• start of interest calculation;
• date of completion of interest accrual;
• magnitude interest rate;
• calculation procedure.

Let's look at each point in detail.

Start of accrual of fine

Art. 191 of the Civil Code prescribes that the accrual of interest for the use of other people's funds begins on the next day after the date on which, according to the agreement, the loan must be repaid.

If we look at this using a specific example: Ivanov A.B. according to the promissory note, he was obliged to return a certain amount to S.S. Smirnov on August 5, 2017. However, the borrower did not fulfill his obligation. Hence Smirnov S.S. has the right to demand interest for the use of other people's funds from August 6, 2017.

Completion of interest calculation

The second paragraph of the Resolution of the Plenum of the Supreme Courts of the Russian Federation (SC and Arbitration) No. 13/14 declares that interest for late repayment of a loan is accrued until a specific date - the date when the borrower has fully repaid his debt. Unless the contract or other legislative act sets a different deadline.

Continuing to consider our example, let’s assume that Ivanov A.B. returned the loan to Smirnov S.S. September 2, 2017. Consequently, the creditor is entitled to demand interest from his debtor for the period August 6 - September 2, 2017 inclusive.

Interest rate

Article 395 (clause 1) specifically establishes the amount of the penalty - interest for the use of other people's funds. It corresponds to the rate of the Central Bank of Russia on the day when the debt was actually repaid. In this case, the rate that is established for the region where the debtor-individual resides, or where the borrower is registered is legal entity.

Clause 51 of the Resolution of the Plenum of the Supreme Courts No. 6/8, in order to eliminate some inconsistencies that arise when reading clause 1 of Article 395 of the Civil Code, prescribes that the amount of accrued interest should be equal to the current one at the moment refinancing rate established by the Central Bank of the Russian Federation for commercial banking organizations on credit resources. The easiest way to find out about its size is on the official website of the Central Bank of Russia.

Let's look at our example again. Since June 2017, the Central Bank of the Russian Federation has set the key rate at 9% per annum. Consequently, Ivanov A.B. will pay interest to its creditor taking into account this amount.

Calculation of interest on late payments

Resolution No. 13/14 of the Plenum of the Supreme Courts of the Russian Federation prescribes that when taking into account interest at the rate of the Central Bank of the Russian Federation, by default, 360 days in a year are assumed, and 30 days in a month.

From this we can derive the following convenient formula:

P = (SR x D x BH) / 36,000. Explanation:

P - the amount of interest for late return of the borrowed amount.

SR - refinancing rate established by the Central Bank.

D is the size of the debt obligation.

BH - the number of days of delay, including those when the debt was directly repaid in full to the creditor.

36,000 - 360 days a year, multiplied by an indicator that shows the share of one percent.

Practical calculation example

Let us make some clarifications to the example that was presented throughout the article, namely the amount that Ivanov A.B. borrowed from Smirnov S.S. Let it be 100 thousand rubles. Now we have all the information to substitute into the formula:

D = 100,000 rubles.

We substitute these numbers into the calculation formula:

(9 x 100,000 x 28) / 36,000 = 700.

From here we get that Ivanov A.B. at the time of repayment of the debt to Smirnov S.S. for a delay in payment of 28 days, the total amount must be paid to the creditor 100,700 rubles (100,000 + 700).

In this article, we looked at one of the easiest examples of calculating interest for late execution of a debt obligation. In some cases it becomes complicated partial repayments debt, as well as monthly remuneration payments to the lender for the loan provided. It is better to carry out such calculations not independently, but using numerous online calculators available on the Internet.

Late provision of the amount borrowed, unless the loan agreement provides for a different condition, is punishable by the accrual of interest for withholding someone else's money for each day overdue according to the agreement. Remember that this fine is accrued until the debt obligation to the lender is fully repaid.

Using someone else's money involves an obligation to repay the principal amount of the debt and the possibility of collecting interest. Someone else's money, which is overdue for a certain time, could serve and bring profit to the person to whom it belongs. From this principle it follows that it is possible to collect a penalty, fine or interest from the debtor. This is provided for by law, as well as the calculation of interest for using the debt amount. Let's consider legislative framework for collecting interest and examples of calculations.

All about using other people's financial resources

The Civil Code of the Russian Federation, Article 395 “Responsibility for failure to fulfill a monetary obligation,” spells out guarantees for a person whose money is illegally withheld. Thus, the deadline for repaying the borrowed amount may be violated, payment for goods received under the contract may be violated, enrichment may occur by retaining someone else’s funds, and other similar cases.

This is an additional penalty in the form of a percentage of the total debt may be indirect insurance from evading debt repayment. The borrower, knowing that debt requirements will increase, will make more efforts to diligently fulfill his obligations.

So, guided by Art. 395, you can sue an unscrupulous counterparty and recover an amount from him for using your money.

Calculation principles defined by law

The calculation must be made in accordance with the rules established by law. Firstly, interest is charged on the day the debt is paid, unless there are exceptions established by law and other legal regulations. Secondly, interest is calculated based on the bank refinancing rate of the Central Bank of the Russian Federation at the time of payment of the debt amount. And if the case goes to court, then the refinancing percentage is taken into account on the day the court made a decision or on the date the claim was filed.

Where can I quickly calculate the amount of interest for using someone else’s money for my case? Many legal websites have a special calculator, which calculates this data online. You only need to enter initial information, such as the amount of debt, days overdue and the refinancing rate. You can use this calculator to check your calculations.

Truth in court, the final figure from online calculation cannot be considered as a qualitative basis for collecting additional money from the borrower for using someone else’s funds. Must have detailed and transparent calculation, which will be carefully checked. If you file a claim in court, you will need to make a written calculation, made on paper or Excel.

How is interest calculated for using someone else's money?

As mentioned earlier, to calculate monetary claims for using someone else’s money, you need to know several components:

• rate of the Central Bank of the Russian Federation;
• amount of debt in arrears;
• period of delay in calendar days.

How to determine the refinancing rate of the Central Bank of the Russian Federation for calculation?

If we talk about the refinancing rate, then during the period of delay it can change several times. The principle of its determination for carrying out calculations is specified in the Resolution of the Plenums of the Supreme Supreme and Arbitration Courts of the Russian Federation dated October 8, 1998 No. 13/14. In this regulatory document It has been determined that if the refinancing rate changes during the period of delay, it is advisable to take as a basis the value that is closest to all rates for this period. This average value is used for calculation.

For example, delay for 210 days, during which the refinancing rate took the following values: 7.5%, 7, 8%, 8%. Based on these data, it is advisable to take the value 7.8%, which is closest to both the first and last values.

Formula and calculation example

Speaking about the direct calculation of the required value for collection, you need to take the following formula:

Amount of interest = Debt * Rate of the Central Bank of the Russian Federation / 360 / (banking days) * Delay in days.

It is worth considering an example of calculating interest for the use of other people's funds in specific figures.

• the overdue debt is 100,000 rubles;
• The refinancing rate of the Russian Federation is set at 7.8% (as in the example earlier);
• Overdue amounted to 210 calendar days.

Let's calculate the amount of interest step by step, breaking the large formula into several short formulas:

Interest amount for the year = 100,000 rubles * 7.8% = 7,800 rubles.,

Amount of interest for 1 day = RUB 7,800/ 360 (banking days) =21.67 rub. ,

Amount of interest for the period of delay = 21.67 rubles. * 210 k.d.=4,550 rub.,

or calculating into one formula:

Amount of interest = 100,000 rubles. * 7.8%/ 360 bank. days * 210 k.d. = 4,550 rub.

So, the debtor for 100,000 rubles, which was overdue for 210 days, will have to return, in addition to the principal amount, an additional penalty of 4,550 rubles.

Statement of claim and monetary demand

The calculation may ultimately give a small value in ruble terms if the debt is small and the delay is not many days. Even if the result of the additional penalty in monetary terms is small or even insignificant in your opinion, still include it in the claim. Since the total the amount of the claim may include many small claims, such as moral damage, payment for the services of a representative, and penalties, which ultimately add up to a significant amount.

At the discretion of the court, the amount may be reduced if the figure obtained as a result of calculations is disproportionately greater than the consequences of violating the monetary obligation. So, the court will use Art. 333 Civil Code of the Russian Federation.

The debtor's lack of money is not an argument for non-payment of principal and interest. The order of payments stipulates that the debtor must first repay the principal debt, after which other payments will be credited as the amount of interest for the use of other people's funds.

Using these principles and formulas, you can easily calculate the final figure to be collected. Such a detailed calculation will also satisfy the proceedings in court, and you can indicate the amount to be recovered in the statement of claim, and when considering the case, provide a full calculation in formulas in written or printed form.

There is a convenient service on the Internet for lawyers - a calculator for calculating interest for the use of other people's funds under Article 395 of the Civil Code of the Russian Federation. Use for free.

Online calculator for calculating interest paid for illegal deduction sums of money or evasion of their payment, complies with the Civil Code. The calculator's knowledge base includes all changes in the interest rate by region, which were set monthly by the Bank of Russia, as well as:

• refinancing rate if the delay began before June 1, 2015;
• , if the delay lasted after August 1, 2016.

The calculator for calculating interest for using other people's funds will tell you:

• what formula is used to calculate the penalty under Art. 395 Civil Code of the Russian Federation;
• how to calculate late payment penalties in 2019 in accordance with this article.

According to the rules relevant for 2019, the calculation of interest under Article 395 of the Civil Code of the Russian Federation takes into account their accrual from the date following the day on which the payment should have been made.

Example. If the debtor was supposed to make payment before January 11, 2019, then the period of delinquency will begin on January 12, 2019.

Other calculators for lawyers

What formulas are used when calculating interest under Article 395 of the Civil Code of the Russian Federation using a calculator

The calculator takes into account all changes in the interest rate by region, which were set monthly by the Bank of Russia, as well as the refinancing rate if the delay began before June 1, 2015, and the key rate if the delay lasted after August 1, 2016.

The general formula for calculating interest under Article 395 of the Civil Code of the Russian Federation: multiply the amount of the principal debt by the number of calendar days of late payment and the current key rate and divide by the number of days in the year.

For example: the customer’s debt to the contractor amounted to 100,000 rubles. The customer delayed payment by 7 calendar days. During the period of delay, the key rate was 7.5%. The year is not a leap year; it has 365 days. Then the penalty under Article 395 will be 143 rubles 84 kopecks.

Please note that this method is used to determine penalty interest for one-time payments. If the debt arose in relation to periodic payments, interest on late payment is determined for each such payment separately until the day the debt is repaid.

Also note that the contract may specify a different percentage, and this should be used when calculating.

How to calculate interest under Article 395 of the Civil Code of the Russian Federation for periodic payments

According to Russian legislation the amount of the penalty for periodic payments (for the use of services, credit, rental of equipment or real estate, etc.) is formed as the amount for all payment periods.

Example. A six-month contract was concluded for the rental of an excavator from July 25, 2018 to January 25, 2019 at a price of 30,000 rubles per month. According to the terms of the agreement, the tenant is obliged to pay rent for a month in advance no later than the 25th day current month. However, he only paid for August and September and avoided other payments. To calculate interest under Article 395 of the Civil Code of the Russian Federation using a calculator, you need to add up several amounts using the following formula:

1. Interest from 30,000 rub. for the period of delay from 09/25/2018 to 02/04/2019 (approximate date statement of claim).
2. Interest from 30,000 rub. for the period from 10/25/2018 to 02/04/2019.
3. Interest from 30,000 rubles. for the period from November 25, 2018 to February 4, 2019.
4. Interest from 30,000 rubles. for the period from December 25, 2018 to February 4, 2019.

For each period of delay, the amount of the penalty is calculated, the amount of interest will be the sum of the penalty interest for the use or retention of other people's funds accrued for each period.

How to determine penalty interest if the rate has changed

On January 1, 2016, the refinancing rate was equalized to the key one. From this moment on, penalty interest under Article 395 of the Civil Code of the Russian Federation began to be determined according to new rules: in the calculator you need to indicate the current key rate or an indicator that corresponds to the period of delay. You need to rely on the refinancing rate only when determining the penalty for late payments under old contracts. However, there may be complex cases calculation.

For example, the contractor completed the work and delivered it on time, July 5, 2018. The payment date was tied to the moment of acceptance of the results. On July 5, the customer accepted the work, but did not pay. The amount of the principal debt is 100,000 rubles. The delay lasted for several months, during which time the key rate changed. The customer transferred the money only on December 6, 2018. Interest must be calculated for the period from July 6 (the first day of delay) to December 6. This is 154 days. When calculating interest under Article 395 of the Civil Code of the Russian Federation, you must use general formula and rely on the rate that was in effect during the given period. The calculation might look like this:

1. From July 6 to September 16 (73 days) the key rate is 7.25%. Then: 100,000 x 73 x 7.25% / 365 = 1,450 rubles.
2. From September 17 to December 6 (81 days) the key rate is 7.5%. Then: 100,000 x 81 x 7.5% / 365 = 1,664 rubles 38 kopecks.
3. Add up the first and second results. For the delay, the customer must pay 3,114 rubles 63 kopecks.

What rules apply when calculating interest under Art. 395, if the debt repayment date was not indicated

Article 810 of the Civil Code of the Russian Federation obliges the borrower to repay the loan money on time and in the manner prescribed by the loan agreement. If the agreement does not contain a specific date, month and year of repayment of the loan amount, then the Law imposes on the borrower the obligation to fully repay the debt within thirty days from the date the lender presents the relevant demands.

Example. The borrower borrowed 100,000 rubles from the lender against a receipt that did not specify a repayment date. Some time later, on August 15, the creditor sent a demand to the debtor for repayment of the debt. In such a situation, the first day of delay will be considered not August 15, but August 15 plus 31 days, that is, September 16, since September 15 is the last day to repay the loan without accruing interest under Article 395 of the Civil Code of the Russian Federation.

The parties to the loan agreement have the right to independently determine the amount of the penalty for late fulfillment of monetary obligations. According to Part 4 of Art. 395 of the Civil Code of the Russian Federation, in the case where in the contract the parties themselves indicated the amount of fines for non-fulfillment (improper fulfillment) by one of the parties to the contract of their monetary obligations, then the calculation of interest is carried out on the basis of the contract.

However, on the basis of Part 6 of Art. 395 of the Civil Code of the Russian Federation, the defendant has the right to petition the court to reduce the amount of interest if it is disproportionate to the consequences of non-payment of the debt.

In this regard, when filing a statement of claim, it is worth considering the possible reduction by the judge of the claims and, if there is a clear discrepancy between the amount of interest and the total debt, you should independently reduce the amount of interest, thereby saving on the amount of state duty.

The article will help you calculate the arrears and determine the percentage for the use of other people’s funds according to.

The seller (contractor) is interested in the buyer (customer) fulfilling his monetary obligation in a timely manner. In case of late payment, the seller (buyer) will be interested not only in the counterparty paying his debt, but also in collecting sanctions from him for late payment.

The seller (contractor), in case of late payment by the buyer (customer), may apply the following measures to the violator:

• collect interest for failure to fulfill a monetary obligation (clause 1);
• collect a penalty for late fulfillment of a monetary obligation (clause 1);
• recover damages due to late payment (clause 1);
• foreclose on the goods transferred to the buyer and unpaid (clause 1, clause 5);
• demand the return of the transferred goods (clause 2).

General provisions the procedure for application and the amount of these sanctions are contained in the Civil Code of the Russian Federation. At the same time, part of these provisions the law allows be specified in the contract itself. In case of late payment, the seller (contractor) will be interested in collecting from the counterparty as much as possible larger size sanctions for late payment for goods (work). In this case, the seller (contractor) can establish in the contract a specific type of sanctions from those provided for by law, the collection of which is most in line with his interests.

Consequently, when agreeing on the text of the contract, the seller’s (contractor’s) task will be to include in the contract the most favorable terms for the seller (contractor) regarding the collection of sanctions for late payment.

So, one of the types of security for a monetary obligation is the possibility of collecting additional interest. How to calculate the interest for using someone else's money if the debt is more than two years old and the refinancing rate has changed several times?

They are called “ interest on the use of someone else's money in case of late payment”, are established and collected only if a party violates the terms of the contract (delay in payment for the delivery of goods, unjustified evasion of debt repayment, unjust enrichment, etc.). By general principles rights, these funds are a kind of guarantee that the money will be paid on time, because no one wants to incur unnecessary expenses.

Interest under Article 395 of the Civil Code of the Russian Federation can be collected as additional sanctions, in addition to those specified in the obligation itself. This is liability for non-compliance with the terms of the contract established by law.

That is, if your counterparty is in no hurry to pay off the debt, then its responsibility can be “heavier” by calculating interest on the use of your money and presenting it in court for collection.

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Article 395. Liability for failure to fulfill a monetary obligation

1. For the use of someone else’s funds as a result of their unlawful retention, evasion of their return, other delay in their payment or unjust receipt or savings at the expense of another person, interest on the amount of these funds is subject to payment. The amount of interest is determined by the existing rate at the place of residence of the creditor, and if the creditor is a legal entity, at its location discount rate bank interest on the day of fulfillment of the monetary obligation or its corresponding part. When collecting a debt in judicial procedure the court may satisfy the creditor's claim based on the discount rate of bank interest on the day the claim was filed or on the day the decision was made. These rules apply unless a different interest rate is established by law or agreement.

2. If the losses caused to the creditor by the unlawful use of his funds exceed the amount of interest due to him on the basis of paragraph 1 of this article, he has the right to demand compensation from the debtor for losses in the amount exceeding this amount.

3. Interest for the use of someone else’s funds is charged on the day the amount of these funds is paid to the creditor, unless by law or otherwise legal acts or the agreement does not establish a shorter period for accrual of interest.

4. If the agreement of the parties provides for a penalty for non-fulfillment or improper fulfillment of a monetary obligation, the interest provided for in this article is not subject to collection, unless otherwise provided by law or agreement.

5. Calculation of interest on interest (compound interest) is not allowed, unless otherwise provided by law. For obligations performed by the parties entrepreneurial activity, the use of compound interest is not allowed unless otherwise provided by law or contract.

6. If the amount of interest to be paid is clearly disproportionate to the consequences of violation of the obligation, the court, at the request of the debtor, has the right to reduce the interest provided for in the contract, but not less than to the amount determined based on the rate specified in paragraph 1 of this article.

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From August 1, 2016, to calculate interest on the use of other people’s funds, it will be necessary to use the key rate of the Central Bank of the Russian Federation

The amount of interest for the use of other people's funds will need to be calculated based on the amount that was in effect during specific periods of delay. Corresponding amendments made to Federal law dated 07/03/16 No. 315-FZ, will come into force on August 1, 2016.

From August 1, 2016, interest will need to be determined differently. When calculating, it will be necessary to take into account not the average deposit rates, but the key rate of the Central Bank of the Russian Federation, valid in the relevant periods. In this case, the law or agreement may still establish a different interest rate.

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Penalty rate, how can you calculate the interest for using someone else's money?

The amount of interest can be determined in the contract. If the amount of interest is not specified in the agreement, it is determined according to average bank interest rates by deposits individuals at the place of residence of the creditor - an individual (location of the creditor - organization), which are published on the website of the Bank of Russia.

If non-payments lead to court proceedings, then the percentage of the bank rate on the day of the court verdict or on the date the claim was sent to court is taken into account.

To calculate the amount of interest for using someone else's money, a special calculator is used. It is available on many legal websites; a resource visitor just needs to enter the amount of overdue debt and the bank rate.

Meanwhile, it should be borne in mind that the courts, as a rule, require a detailed written calculation, and not a ready-made amount, since it always requires verification. Therefore, if you need a calculation to file a claim, it is better to know the algorithm for calculating interest, do the calculations yourself on paper or in Excel, and use a calculator for calculating interest for using someone else’s money for control.

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FORMULA and EXAMPLE of calculating interest under Article 395 of the Civil Code of the Russian Federation for the use of other people's funds

To calculate interest under Article 395 of the Civil Code of the Russian Federation, you need to know that:

• The amount of debt must be indicated including VAT.

  Note: Resolution of the Presidium of the Supreme Arbitration Court of the Russian Federation dated September 22, 2009 No. 5451/09 in case No. A50-6981/2008-G-10

• The day of payment of funds is included during the period of delay in fulfilling a monetary obligation.

  Note: Resolution of the Presidium of the Supreme Arbitration Court of the Russian Federation dated January 28, 2014 No. 13222/13 in case No. A40-107594/12-47-1003.

• Overdue period should be determined based on 30 days in a month and 360 days in a year or in calendar days

So, in order to correctly calculate interest, you need to know the amount of overdue debt, the number of days overdue and the average bank rate.

The Supreme and Supreme Arbitration Courts of the Russian Federation in the Resolutions of the Plenum Supreme Court RF and the Plenum of the Supreme Arbitration Court RF dated October 8, 1998 No. 13/14 "On the practice of applying the provisions of the Civil Code of the Russian Federation on interest for the use of other people's funds" explained that in the event of a change in the bank interest rate during the delay, it is advisable to apply the value that is closest to all rates in the specified period. For example, the debt amounted to 200 days, during which the bank interest was 7%, 8% and 8.5%. Based on the above recommendations, the calculation should be based on a rate of 8%.

From the Resolution of the Plenum of the Supreme Court of the Russian Federation and the Plenum of the Supreme Arbitration Court of the Russian Federation dated October 8, 1998 No. 13/14:

2. When calculating the annual interest payable at the Central Bank refinancing rate Russian Federation the number of days in a year (month) is taken equal to, respectively 360 and 30 days, unless otherwise established by agreement of the parties, rules binding on the parties, as well as business customs.

So, the calculation of interest for the use of other people's funds is carried out according to the formula:

Interest amount

Debt amount

Average Bank Rate valid during the period of delay

Number of days overdue

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Calculation of the amount of interest for the use of other people's funds

The formula for calculating interest can be given in the following example.

Initial data for calculation:

• The amount of debt under the loan agreement in Kirov is 100,000 rubles.
• Weighted Average Bank Rate in the Volga Federal District - published on the website of the Central Bank of the Russian Federation
• Overdue period from 01.01.2015 to 31.08.2015

Calculation of interest for the use of other people's funds under Article 395 of the Civil Code of the Russian Federation

With a debt amount of 100,000 rubles. (Volga Federal District)
Interest for using someone else's money is:

• from 01/01/2015 to 05/31/2015 (151 days): 100,000 × 151 × 8.25% / 360 = 3,460.42 rubles.
• from 06/01/2015 to 06/14/2015 (14 days): 100,000 × 14 × 11.15% / 360 = 433.61 rubles.
• from 06/15/2015 to 07/14/2015 (30 days): 100,000 × 30 × 11.16% / 360 = 930 rub.
• from 07/15/2015 to 08/16/2015 (33 days): 100,000 × 33 × 10.14% / 360 = 929.50 rubles.
• from 08/17/2015 to 08/31/2015 (15 days): 100,000 × 15 × 10.12% / 360 = 421.67 rubles.

Total: 6,175.20 rub.

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CALCULATOR for calculating interest for the use of other people's funds according to Article 395 of the Civil Code of the Russian Federation

It should be borne in mind that if the calculated amount of interest for the use of someone else's money clearly exceeds the results of a violation of a monetary obligation, the court is allowed to reduce it at its own discretion, i.e. pity the offender.

In this case, the courts refer to, which allows you to reduce the amount of interest.

According to general rules, the debtor’s lack of money cannot become a reason for releasing him from paying the debt. And if we talk about the order of repayment, then funds under Art. 395 of the Civil Code of the Russian Federation are credited only after the amount of the principal debt has been paid. Besides, the claimant has the right to accrue them up to the day of fulfillment of obligations under the contract.

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At WHAT RATE should I calculate interest for using other people's funds?

The seller (contractor), when agreeing on the text of the contract, can indicate in the contract the rate at which interest will be charged in case of late payment. For example, according to key rate of the Bank of Russia. This is due to the fact that otherwise the debtor would essentially benefit from his misconduct by illegally withholding someone else's money and, in fact, receiving credit at a rate several times lower than if he took out a loan from a bank. In other words, it is currently impossible to get a loan anywhere at a rate lower than the key rate of the Bank of Russia. Such a condition will discipline the counterparty to fulfill its monetary obligations in good faith.

The key rate of the Central Bank of the Russian Federation is currently the main indicator of the direction of the monetary policy of the Bank of Russia.

However, you need to keep in mind that the period of debt arrears can be quite long, up to several years. And the key rate itself was introduced only on September 13, 2013. In addition, its size has constantly changed over time, both up and down. For this reason, applying the key rate for the entire period of arrears may result in the creditor receiving less interest than if he had charged interest at average rates on personal deposits. To avoid such situations, you need to weigh in every possible way possible risks collection of interest at the key rate of the Central Bank of the Russian Federation and choose the best option for yourself.

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Calculation of the amount of interest under Article 395 of the Civil Code of the Russian Federation

Article 395 of the Civil Code of the Russian Federation. Liability for failure to fulfill a monetary obligation

1. For the use of someone else’s funds as a result of their unlawful retention, evasion of their return, other delay in their payment or unjust receipt or savings at the expense of another person, interest on the amount of these funds is subject to payment. The amount of interest is determined by the average bank interest rates on deposits of individuals existing at the place of residence of the creditor or, if the creditor is a legal entity, at its location, published by the Bank of Russia and existing in the relevant periods. These rules apply unless a different interest rate is established by law or agreement.

2. If the losses caused to the creditor by the unlawful use of his funds exceed the amount of interest due to him on the basis of paragraph 1 of this article, he has the right to demand compensation from the debtor for losses in the amount exceeding this amount.

3. Interest for the use of someone else’s funds is charged on the day the amount of these funds is paid to the creditor, unless a shorter period is established for the accrual of interest by law, other legal acts or agreement.

4. If the agreement of the parties provides for a penalty for non-fulfillment or improper fulfillment of a monetary obligation, the interest provided for in this article is not subject to collection, unless otherwise provided by law or agreement.

5. Calculation of interest on interest (compound interest) is not allowed, unless otherwise provided by law. For obligations fulfilled when the parties carry out business activities, the use of compound interest is not allowed, unless otherwise provided by law or agreement.

6. If the amount of interest to be paid is clearly disproportionate to the consequences of violation of the obligation, the court, at the request of the debtor, has the right to reduce the interest provided for in the contract, but not less than to the amount determined based on the rate specified in paragraph 1 of this article.

From the Resolution of the Plenum of the Supreme Court of the Russian Federation and the Plenum of the Supreme Arbitration Court of the Russian Federation dated October 8, 1998 No. 13/14:

2. When calculating the annual interest payable at the refinancing rate of the Central Bank of the Russian Federation, the number of days in a year (month) is taken equal to 360 and 30 days, respectively, unless otherwise established by agreement of the parties, rules binding on the parties, as well as business customs.
Interest is accrued until the moment of actual fulfillment of the monetary obligation, determined on the basis of the conditions on the procedure for payments, the form of settlements and the provisions of Article 316 of the Civil Code of the Russian Federation on the place of fulfillment of the monetary obligation, unless otherwise established by law or by agreement of the parties.