Interest on Child Support Arrears in South Dakota: Rate, Simple vs. Compound and When It Applies

By the FigureMyTax Editorial Team · How we calculate

South Dakota child support interest is 1% per month or fraction of a month on the unpaid principal, which the department or an obligee may collect. The general 10% judgment rate does not apply to support.

Does South Dakota charge interest on child support arrears?

The Department of Social Services or any support obligee may collect interest on the unpaid principal balance of a support debt or judgment for support at the Category D rate of interest (SDCL 25-7A-14). The statute says “may”, so it is collected by the department or an obligee, not added automatically. The South Dakota arrears calculator shows what that would be.

Is the rate the same for a lump-sum judgment?

The statute applies the Category D rate to the unpaid principal balance of a support debt or judgment for support (25-7A-14), so a judgment for back support uses the same rate. Check how your judgment states it.

What do the other categories mean?

The statute lists seven categories: A at 4.5% a year, B at 10%, C at 12%, D at 1% a month, E at 4%, F at 15% and G at five-sixths of 1% a month (54-3-16). Support debts use D, so do not use the 10% in older general guides.

What is the South Dakota Category D rate?

One percent per month or fraction of a month (54-3-16). That is 12% a year, and a fraction of a month counts as a full month. The general judgment interest section, which uses the 10% Category B rate, excludes support debts and judgments (54-3-5.1).

Is South Dakota child support interest simple or compound?

The statute applies the rate to the unpaid principal balance, which points to simple interest on the principal, not on earlier interest.

Scenario at 1% a month, no payments	Interest	Total owed
12 unpaid installments of $500	$390.00	$6,390.00
24 unpaid installments of $500	$1,500.00	$13,500.00
36 unpaid installments of $500	$3,330.00	$21,330.00

Each figure assumes no payments and counts every installment from its due date.

What is the South Dakota interest starting point?

Any payment unpaid after its due date is a judgment by operation of law (25-7-7.4), so each missed payment can carry interest from its due date. Ask the department how it counts the first month.

Does interest apply to the department’s own claim?

The same section lets the department collect interest on the unpaid principal of a support debt or judgment; public assistance paid for a child creates a debt due to the state that is limited to the order amount when an order exists (25-7A-2, 25-7A-14). Ask which part of your balance is state debt.

Can I ask the court to stop interest?

The statute says the department or an obligee “may” collect interest, and the sections we read give no list of grounds for waiving it. If you cannot pay, negotiate a payment arrangement with the department and ask for the interest terms in writing.

Does interest stop if I pay part of the balance?

Interest runs on the unpaid principal balance (25-7A-14), so a payment that reduces principal reduces later interest. Ask for a ledger showing how each payment was applied.

Can the department charge interest if the order is silent?

The statute lets the department or any obligee collect interest on the unpaid principal balance of a support debt or judgment (25-7A-14); it does not require the order to mention it. Ask the department whether it charges it on your case.

How can an obligee preserve the judgment?

By filing a sworn statement or certificate of unpaid support with the clerk of courts of the county where the order is filed; the judgment is effective against later purchasers and creditors from the time of docketing (25-7-7.5).

Where do you get the official figure?

From the Department of Social Services or the clerk of courts. See whether arrears can be changed and file to modify if your circumstances changed.

Frequently asked questions

What is the South Dakota interest rate on child support arrears?

One percent per month, or fraction of a month, on the unpaid principal.

Is South Dakota child support interest automatic?

The department or an obligee may collect it; the statute says may.

Why is South Dakota child support interest not 10%?

The general judgment rate excludes support debts; support uses the Category D rate of 1% a month.

Does a partial month count in South Dakota child support interest?

Yes. The rate applies to each month or fraction thereof.

Where can I check my South Dakota child support balance?

With the Department of Social Services or the clerk of courts.

Official sources

Going through a divorce or custody case in South Dakota?

A local family law attorney can review your situation — many offer a free consultation.

Talk to a South Dakota attorney

This is general information, not legal advice. It is based on the cited South Dakota statutes, rules and court opinions, and every case turns on its own facts. Confirm how the law applies to your situation with a licensed South Dakota attorney.