One of the most important aspects of this proceeding is that the claimant can claim interest at the rate i.e. 3 times the bank rate notified by RBI.
Even if the rate of interest is not agreed upon, the supplier or service provider can claim the aforesaid rate of interest as per section 16 of the MSME Act.
The law shows the interest is compounded at monthly intervals. So, an MSME claim gets a better interest rate than normally awarded in a commercial suit.