Interest on unpaid invoices in Minnesota: 6% a year if no rate was agreed; the most you can set depends on the deal

Minnesota's rate when no rate was agreed

6% a year. Minn. Stat. §334.01 subd. 1: interest on any legal indebtedness is 6% a year unless a different rate is contracted for in writing.

• “The interest for any legal indebtedness shall be at the rate of $6 upon $100 for a year, unless a different rate is contracted for in writing.” — Minn. Stat. §334.01, subd. 1, read November 6, 2026
• “the one-year constant maturity treasury yield for the most recent calendar month, reported on a monthly basis in the latest statistical release of the board of governors of the Federal Reserve System.” — Minn. Stat. §549.09, subd. 1, read November 6, 2026

The most you can set in Minnesota

For a homeowner: It depends: see Minn. Stat. §334.01.

For a business customer: See the state's words below.

• “No person shall directly or indirectly take or receive in money, goods, or things in action, or in any other way, any greater sum, or any greater value, for the loan or forbearance of money, goods, or things in action, than $8 on $100 for one year.” — Minn. Stat. §334.01, subd. 1, read November 6, 2026
• “The terms of the plan, agreement or arrangement provide for a periodic rate of finance charge which does not exceed 1-1/2 percent per month computed on an amount no greater than the average daily balance of the account during each monthly billing cycle; provided a minimum finance charge not in excess of 50 cents per month may be imposed, charged or collected.” — Minn. Stat. §334.16, subd. 1, read November 6, 2026
• “no limitation on the rate or amount of interest, points, finance charges, fees, or other charges applies to a loan, mortgage, credit sale, or advance made under a written contract, signed by the debtor, for the extension of credit to the debtor in the amount of $100,000 or more” — Minn. Stat. §334.01, subd. 2, read November 6, 2026
• “Notwithstanding any law to the contrary, no limitation on the rate or amount of interest, points, finance charges, fees, or other” — Minn. Stat. §334.022, read November 6, 2026

Late fees in Minnesota

What the text says: Open-end credit plans only: if the plan provides, a delinquency and collection charge on an installment in arrears at least 10 days, no more than federally chartered / insured banks may charge Minnesota residents. Open-end consumer credit plans between buyer and seller (store charge accounts). §334.171 applies only to open-end credit plans.

• “If an open end credit plan, agreement, or arrangement between the buyer and seller so provides, a seller or holder may collect a delinquency and collection charge on each installment in arrears for a period of not less than ten days in an amount not in excess of any such charge which may be imposed on residents of this state by any institution defined in subsection (c)(2)(F) of section 101(a) of the Competitive Equality Amendments of 1987” — Minn. Stat. §334.171, read November 6, 2026

Does Minnesota want it agreed in advance?

Agreed in advance: yes, in the cases below. A rate other than 6% must be contracted for in writing (§334.01); the open-end delinquency charge only if the plan so provides (§334.171).

• “unless a different rate is contracted for in writing.” — Minn. Stat. §334.01, subd. 1, read November 6, 2026

Homeowners and businesses in Minnesota

Minnesota's own words on it are below.

• “Notwithstanding any law to the contrary, no limitation on the rate or amount of interest, points, finance charges, fees, or other” — Minn. Stat. §334.022, read November 6, 2026

Prompt payment on private construction in Minnesota

What the text says: It depends: see Minn. Stat. §337.10. 1.5% per month on undisputed amounts not paid on time (minimum $10 a month on a balance of $100 or more); prime contractor and subs pay subcontractors/suppliers within 10 days of receiving payment. Every building and construction contract (design, construction, alteration, improvement, repair or maintenance of real property) — the payment chain from prime contractor down. Minn. Stat. §337.10, subd. 3.

• “The contract shall be deemed to require the party responsible for payment to pay interest of 1-1/2 percent per month to the party requesting payment on any undisputed amount not paid on time. The minimum monthly interest penalty payment for an unpaid balance of $100 or more is $10.” — Minn. Stat. §337.10, subd. 3, read November 6, 2026
• “A building and construction contract shall be deemed to require the prime contractor and all subcontractors to promptly pay any subcontractor or material supplier contract within ten days of receipt by the party responsible for payment of payment for undisputed services provided by the party requesting payment” — Minn. Stat. §337.10, subd. 3, read November 6, 2026
• “"Building and construction contract" means a contract for the design, construction, alteration, improvement, repair or maintenance of real property, highways, roads or bridges.” — Minn. Stat. §337.01, subd. 2, read November 6, 2026

Work out a late charge in Minnesota

Starts at Minnesota's 6%, the rate when none was agreed, not a maximum.

What was not checked for Minnesota

• Minnesota's 2026 court interest figure (§549.09) could not be read: the courts' page refused automated reading.
• Minnesota's rules for business loans to individuals (§334.011) and for consumer credit sales (§§325G.15–.16) were not read.
• Only part of Minnesota's §334.022 is quoted here.

Check Minnesota's own text

Before you charge: read Minn. Stat. §334.01, subd. 1 and the other Minnesota texts quoted on this page, or ask a lawyer. As of November 6, 2026.

This is a plain-words summary of each state's own laws as of November 6, 2026, not legal advice. Rules have exceptions. Check the state's own text, linked on every state's page, or a lawyer before you charge a late fee or interest.

Compare Minnesota with every state's answer, or with its neighbours just below.

Next door to Minnesota

• Iowa: 5% if none agreed, depends by agreement
• North Dakota: 6% if none agreed, depends by agreement
• South Dakota: 15% if none agreed, depends by agreement
• Wisconsin: 5% if none agreed, depends by agreement

Official sources for Minnesota

• Minn. Stat. §334.01, subd. 1 — read November 6, 2026
• Minn. Stat. §549.09, subd. 1 — read November 6, 2026
• Minn. Stat. §334.16, subd. 1 — read November 6, 2026
• Minn. Stat. §334.022 — read November 6, 2026
• Minn. Stat. §334.171 — read November 6, 2026
• Minn. Stat. §337.10, subd. 3 — read November 6, 2026
• Minn. Stat. §337.01, subd. 2 — read November 6, 2026

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