Late payment interest is the charge assessed on delinquent debts based on the time value of money owed and not paid when due. As established by the Debt Collection Act of 1982, the minimum annual rate to be assessed is the Department of the Treasury's Current Value of Funds Rate. A higher rate may be used if judged by the agency as necessary to protect the government's interests. Late payment interest is accrued and assessed from the date of delinquency, and should be assessed unless interest is otherwise provided in legislation or a contractual agreement. Additionally, late payment interest may be waived by the agency at any time (must then be written off) or it may accrue indefinitely. See also definitions for the terms Additional Interest and Interest/Fees Outstanding.