Negotiable Instruments Act, 1881
Section 80, NI Act: Interest when no rate specified
Section 80 of the Negotiable Instruments Act, 1881, in the Act's own words.
The section
80. Interest when no rate specified.
When no rate of interest is specified in the instrument, interest on the amount due thereon shall, 1[notwithstanding any agreement relating to interest between any parties to the instrument], be calculated at the rate of 2[eighteen per centum] per annum, from the date at which the same ought to have been paid by the party charged, until tender or realization of the amount due thereon, or until such date after the institution of a suit to recover such a mount as the Court directs. Explanation.-- When the party charged is the indorser of an instrument dishonoured by non-payment, he is liable to pay interest only from the time that he receives notice of the dishonour.The text is India Code's consolidated text as loaded into Pundora's statute corpus on 1 September 2026; a number before a square bracket is India Code's own footnote marker for an amendment. A section quoted in a draft checked by Pundora is checked against this text.
Sources
- India Code: Negotiable Instruments Act, 1881, section 80 (read 1 September 2026)