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 Louisiana (LA), interest rates on judgments are governed by state law, which sets forth the rates for both prejudgment and post-judgment interest. Prejudgment interest, also known as legal interest, accrues from the date of the breach or damage in civil cases, and the rate is typically set by statute. As of the knowledge cutoff in 2023, the legal interest rate in Louisiana is generally set at the rate of judicial interest as provided in Louisiana Revised Statutes 13:4202, unless a different rate is contractually agreed upon. Post-judgment interest refers to the interest that accrues on the amount awarded by the court from the date of the judgment until the amount is paid. In Louisiana, the post-judgment interest rate is the same as the prejudgment interest rate unless specified otherwise by the judgment or contract. It is important to note that these rates can be updated by the legislature, and parties involved in litigation should consult the current statutes or an attorney to determine the exact rates applicable to their case.