SPRINGFIELD â The state is no longer charging interest on late child support payments that are made through the Department of Healthcare and Family Services unless itâs ordered by a court, and all of the outstanding interest charges that those parents owed have been zeroed out.
A spokesman for the agency said in an email that the total accrued interest penalties that were eliminated amounted to just over $2.7 billion.
DHFS made that announcement Monday, saying those interest charges fell disproportionately on low-income families and people of color.
âThis is a prime example of how an equity lens can be used to advance the financial well-being of our customers,â DHFS Director Theresa Eagleson said in a statement. âThere really was no reason that families served by our department should be penalized with a 9% interest rate when families who can afford to be served through private child support arrangements arenât automatically charged interest on their
State Drops Most Child Support Interest Charges
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