COLLECTION LAWS – IOWA (IA)

COLLECTION LAWS – IOWA (IA)

(1) Pre-Judgment Interest Rate: In the state of Iowa, the pre-judgment interest rate is governed by Iowa Code section 535.2. According to this statute, the pre-judgment interest rate is determined by the court and is generally set at the rate provided in a written contract, if applicable. If there is no written contract or specified interest rate, the court may apply the legal rate of interest, which is currently set at 2% per year.

(2) Post-Judgment Interest Rate: The post-judgment interest rate in Iowa is determined by Iowa Code section 535.3. As per this statute, the post-judgment interest rate is set at the annual rate of 2% above the federal discount rate. The federal discount rate is the rate published by the Federal Reserve Bank of the United States.

(3) Statute of Limitations for Written Contract: According to Iowa Code Section 614.1(2), the statute of limitations for a written contract in Iowa is ten years from the date the cause of action accrues.

(4) Statute of Limitations for Oral Contract: The statute of limitations for an oral contract in Iowa is five years, as provided by Iowa Code Section 614.1(4). This means that a lawsuit must be filed within five years from the date the cause of action arises.

(5) Statute of Limitations for Open Account: Iowa Code Section 614.1(3) establishes a five-year statute of limitations for open accounts. This means that a legal action must be initiated within five years from the date the cause of action accrues.

(6) Statute of Limitations for Contract for Sale of Goods: Under Iowa Code Section 554.2725, the statute of limitations for a contract for the sale of goods is four years. This time frame begins when the cause of action accrues.

(7) Statute of Limitations for Promissory Note: According to Iowa Code Section 614.1(1), the statute of limitations for a promissory note is ten years from the date the cause of action arises.

(8) Statute of Limitations for Enforcement of Domestic Judgment: Iowa Code Section 626.756 establishes a ten-year statute of limitations for the enforcement of domestic judgments. This means that a judgment must be enforced within ten years from the date it was entered.

(9) Statute of Limitations for Enforcement of Foreign Judgment: The enforcement of foreign judgments in Iowa is subject to a statute of limitations of ten years, as outlined in Iowa Code Section 626.755.

(10) Garnishment Exemptions: Iowa Code Section 642.21 provides certain exemptions from garnishment. These exemptions include, but are not limited to, Social Security benefits, certain pension and retirement benefits, public assistance, unemployment compensation, workers’ compensation, and certain life insurance proceeds.

Disclaimer: Please note that the presented content is an outline of legal regulations, serving as a general overview rather than an exhaustive representation of comprehensive statutes. It is crucial to recognize that this outline does not constitute “legal advice.” Moreover, it is important to acknowledge that subsequent changes to the listed statutes may occur subsequent to this publication. It is recommended to consult an attorney in the jurisdiction to confirm the information is up-to-date and accurate.