Interest Rates for Minnesota Counties

The interest rate on delinquent real and personal property taxes, including manufactured homes, and special assessments is the same interest rate charged by the state for delinquent income and sales taxes, and is based on the adjusted prime rate charged by banks on bank-to-business loans. This rate cannot exceed 14%. Prior to 2024, the minimum interest rate was 10%.

Beginning for 2024, a county board, by resolution, may establish an interest rate lower than the interest rate determined by the Department of Revenue.

The interest rate for court judgments arising out of petitions for review is the floating rate based on the secondary market yield on one-year U.S. treasury bills. This is certified by December 20 each year and published on the Minnesota Judicial Branch's website.

The interest rate on confession of judgment contracts depends on the classification of the property.

• If the property is classified as class 1a or 1b and is used as the homestead of the owner, the interest rate is the higher of 5% or 2% above the prime rate as determined by the Department of Revenue (Minnesota Statutes, sections 270C.40, subdivision 5; and 279.37, subdivision 2).
• For other property eligible to enter into a confession of judgment, the interest rate is the same as the interest rate for delinquent taxes.

Property eligible to enter into a confession of judgment under M.S. 279.37, subd. 1, has a fixed rate of interest for the duration of the contract (M.S. 279.03, subd. 2, para. (a)). Property eligible to enter into a confession of judgment under M.S. 279.37, subd. 1a, has a variable rate of interest for the duration of the contract.

Interest rates on the following items share the same interest rate as delinquent taxes: 

• The unpaid balance of any repurchase contract approved by the county board; and
• The unpaid balance of the purchase price of tax-forfeited land sold under a contract for deed.