What must occur for payments under a judgment to be properly allocated?

For payments under a judgment to be properly allocated, it is essential that they are appropriated first toward interest. This principle ensures that any payment made towards the judgment is first applied to any outstanding interest that has accrued on the judgment amount. This approach is crucial because it adheres to the legal principles governing the satisfaction of debts, particularly in civil practice, where interest can accumulate over time, impacting the overall amount owed to the judgment creditor.

By first applying payments to interest, it helps in clearly delineating how much of the total payment is satisfying the principal debt versus how much is compensating for the delay or loss associated with interest. This method of allocation aligns with both common legal practices and statutory guidelines, thereby ensuring that the party receiving the payment is fairly compensated for the time value of money. Given the structured nature of legal and financial obligations following a judgment, this practice helps maintain clarity and fairness in the discharge of debts.