Interest rates are compensation for the time-value of money, and are calculated on judgments (the amount of money one party to a lawsuit is ordered to pay another party) based on the applicable state or federal statutes. There are often different interest rates set by law for prejudgment interest (the interest on the amount owed before the judgment) and post-judgment interest (the interest on the amount owed after the judgment). The calculation of prejudgment and post-judgment interest rates vary from state to state (and in federal court), and require a careful analysis of the statutes.

In South Carolina, interest rates on judgments are governed by state law. Prejudgment interest refers to interest that may accrue on the amount owed before a judgment is entered, while post-judgment interest accrues on the amount owed after the judgment is entered. South Carolina does not have a statute that specifically authorizes prejudgment interest for all cases; however, prejudgment interest may be awarded if a contract or statute provides for it. As for post-judgment interest, South Carolina Code Ann. § 34-31-20(A) sets the legal rate of interest at 7.25% per annum unless otherwise established by contract. This rate applies to money decrees and judgments for the payment of money from the date of the judgment until the money is paid. It is important to note that the interest rate can be subject to change, so it is advisable to check the current rate as provided by the South Carolina Department of Consumer Affairs or consult with an attorney for the most up-to-date information.