As Interest Rates Sink

This is a continuation of a story we have been following here.  As interest rates have been dropping, so too has the money colleced from the IOLTA accounts resulting in IOLTA Accounts Taking a Hit.  Law.com reports the situation is getting worse still:

Organizations across the country that provide legal services to the poor face potentially dire drops in funding as a result of the cut in bank interest rates over the past four months.

From New York to Illinois to Texas, organizations that depend partly or completely on income from interest earned on accounts in which lawyers hold clients' money for short periods of time are seeing that income dwindle. The legal service groups receive the funds through grants from what are typically called interest on lawyers' trust accounts (IOLTA) organizations created by state court systems to collect and distribute the funds

For the full story from Law.com:  As Interest Rates Sink, So Do the Fortunes of Embattled, IOLTA-funded Legal Services.

Perhaps your practice is doing well and you can give a little more to Legai Aid, perhaps you have some time and can voluteer.  These are good people doing good work and they deserve our support in these trying times.

- Peter H. Berge

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