FAR and DFARS › FAR Part 32: Contract Financing › Subpart 32.6
FAR 32.608-1 Interest charges.
The codified text (eCFR, as of 2026-10-02). Under the Revolutionary FAR Overhaul ↗, agencies follow class deviations with new text for many parts while the formal rules go through the Federal Register: check the solicitation and your contract's clauses, which rule.
In plain English
This section states that interest charges apply to any contract debt unpaid more than 30 days after a demand is issued, unless the contract is excluded under 32.611 or the debt is exempted by agency procedures. It matters because it tells contractors when they may owe interest on unpaid debts to the government.
Applies to: Government contractors with a contract debt unpaid after a demand
Key terms: contract debt · interest charges · demand · excluded under 32.611 · exempted from interest charges
Written by AI from this section's text. A guide, not legal advice: the text below rules.
The text
Unless specified otherwise in the clause at 52.232-17, Interest, interest charges shall apply to any contract debt unpaid after 30 days from the issuance of a demand unless—
(a) The contract is a kind excluded under 32.611; or
(b) The contract or debt has been exempted from interest charges under agency procedures.
← 32.608 Interest. · 32.608-2 Interest credits. →
Rule changes for FAR Part 32
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · final rule 2025-08-27 · effective 2025-10-01
- Federal Acquisition Regulation; Technical Amendments ↗ · final rule 2025-08-07 · effective 2025-08-07
- Federal Acquisition Regulation: Inflation Adjustment of Acquisition-Related Thresholds ↗ · proposed 2024-11-29 · comments due 2025-01-28
Source: eCFR, 48 CFR chapters 1 and 2 (GPO GovInfo bulk data) ↗. Plain words for the terms: glossary.