Interest On Outstanding Debt

[ambassabuild]

I wrote on here 1 year ago regarding work carried out to a property, then unfortunately the home owner died after completion but before payment (owner was in hospital). The solicitors have not been very co-operative. The daughter an executor contacted me on xmas eve to say she was very sorry for delay and will contact solicitor and request payment to me, this never materialised.
However this week I received a payment of £2000 with a balance of £4750 left, in the letter he wrote to say on the sale of the property this will be paid. With the lack of urgency on their part can I do anything, or charge interest!
Thanks
Steve

[kapple999]

You can claim interest and debt recovery costs if another business is late paying for goods or a service.
If you haven’t already agreed when the money will be paid, the law says the payment is late 30 days after either:
• the customer gets the invoice
• you deliver the goods or provide the service (if this is later)
The interest you can charge if another business is late paying for goods or a service is either:
• ‘statutory interest’ - this is 8% plus the Bank of England base rate
• ‘contractual interest’ - the rate of interest for a late payment in a contract
The current Bank of England base rate is 0.5%, so statutory interest for a recent debt would be 8.5%.
For more info go to
https://www.gov.uk/late-commercial-payments-interest-debt-recovery/when-payment-becomes-late

[Buenchico]

See here:
https://www.gov.uk/late-commercial-payments-interest-debt-recovery/charging-interest-commercial-debt

[ambassabuild]

thanks for answers, but the deceased is not a business, is this not different?..
steve

[Buenchico]

It was still a business transaction, so the same rules should apply.