As part of carrying out your instructions to us, we may need to hold your money in our client account. In holding client's money, we have an obligation to pay interest on that money at a fair and reasonable rate and we are required to put in place an interest policy. This policy sets out the guidelines for when interest will be paid.
We aim to account to you for interest at a reasonable rate of interest however as the holding of your funds is incidental to the carrying out of your legal instructions, the rate is unlikely to be as high as the rate you may be able to obtain when depositing the money, we hold on your behalf yourself. In most cases we must ensure that money held on client account is immediately available and so the need for instant access is taken into account when setting the rate of interest payable by us.
We align our interest rates paid on both monies held on general client account and separate designated deposit account to the rate of interest our bank pays on our client account, which is reflected in the rate we apply to funds held on your behalf. Details of applicable current rates can be obtained, on request, from our finance department.
Interest on client money is calculated when the monies have cleared, and is worked out on a daily basis, and compounded on a quarterly basis. National Accident Law will account to clients for interest at the end of their claim. If the calculated total interest due at the end of the claim is less than £50, then no interest will be paid.