Enforce child support arrears by applying interest until it is paid off.

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Child support arrears are essentially an interest free loan for the noncustodial parent.   While single parents try to make due without child support, often going into debt and applying for public assistance to make ends meet, the noncustodial parent simply racks up arrears with no penalty for not paying it.   The noncustodial parent can take as long as they like to pay the arrears and in as little payments as they wish.   Some custodial parents go years without seeing payment of the arrears due them, and the other parent is free to spend their money elsewhere.

Noncustodial parents should be charged interest in their arrears as is the practice in other states.   The interest should start from the first day arrears are set by a judge and accrue monthly just like a loan payment would.   

It should be reported to the credit bureau as an unsecured loan with missed payments.   This would ensure that the custodial parent would have financial repercussions due to nonpayment in a timely manner.   

The practice of interest free loans by not paying child support needs to stop, and North Carolina needs to join other states that charge interest in arrears.



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