Skip to main content
Elizabeth M. Whitehorn, Director

Interest Policy

Effective January 1, 2021, all unadjudicated interest will be removed from the balance being enforced by Child Support Services (CSS). Additionally, CSS no longer automatically charges interest on past-due balances.

Adjudicated Interest Requests

The amended procedures to establish and enforce interest became effective January 1, 2021, signed into law as Public Act 101-0336 on August 9, 2019.

As of January 1, 2021, CSS no longer establishes interest for every case.  Interest is only established and/or enforced for participants meeting the criteria contained in 89 Ill. Adm. Code 160.89. 

  • Interest is only assessed when the youngest child has emancipated;
  • no current or past due support remains due;
  •  written request is received by the Department within one year of qualifying for interest enforcement. 

An opportunity to request interest adjudication, through the Department of Healthcare and Family Services, will be available at the end of the case when the custodial parent receives the Notification of Case Closure.  If someone requesting IV-D services after emancipation of the youngest child, a written request for interest adjudication must be made within one year after applying for IV-D services and the request must meet the required criteria, including the criteria that a written request for interest must be received by the Department within one year of qualifying for interest enforcement.

Note:  Interest payments are not considered child support payments and are taxable as interest income.

➢ Private Attorney Interest Calculator

Interest Legislation

Public Act

Illinois Statutes

Administrative Code

Interest Payments

Interest is not paid until all principal balances are satisfied.  Although interest is collectible as if it were child support, it is not the same as child support debt.  It is considered to be “income” to the family.  In accordance with the Internal Revenue Code, payments sent to the custodial parent on interest balances are taxable. Therefore, at the end of January each year, Custodial Parents may be sent as many as two IRS Form 1099‐INT statements for interest paid of $600.00 or more during the previous tax year. The Department of Healthcare and Family Services (HFS) will send IRS Form 1099‐INT for interest paid through the SDU and the Comptroller will send IRS Form 1099‐INT for interest paid through their office.  

(Note:  The Comptroller’s office sends out their IRS Form1099 on interest payments of $10.00 or more.)

To determine if the $600.00 threshold is met, the total combined interest paid through the SDU and interest paid through the Comptroller must be added together. The threshold is not $600.00 for the Comptroller and $600.00 through the SDU. It is $600.00 total. Interest on child support debt cannot be collected through the following OCSE Federal Offset Program (FOP).

  • Federal Income Tax Refund Offsets.
  • Administrative Offsets (vendor payments, federal retirement payments, miscellaneous payments).
  • Passport Denial payments,
  • MSFIDM payments.

The expansion of the FOP to include Administrative Offset, Passport Denial, and MSFIDM was only for the purpose of assisting in the collection of delinquent child support debts. Since interest is not child support, these remedies cannot be used for the collection of interest.

Interest Rate

There is a 9% annual interest rate on past-due child support in Illinois.  When adjudicated interest calculations of Interest are completed, interest will be calculated by applying one-twelfth of the statutory interest rate (9% divided by 12 months = .0075) to the unpaid support balance at the end of each calendar month.