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Collection Laws & Exemptions by State
Below find consumer protection laws and exemptions by state. See the Bills.com Statute of Limitations on Debt page to find consumer statutes of limitations laws for the 50 US states and the District of Columbia. Use this information as a starting point for your research — it is not legal advice. Consult an attorney for legal advice specific to your situation.
If debt is causing you distress, go to the Bills.com Debt Savings Center to get a no-cost quote from a pre-screened debt resolution service provider.
| Collection Laws & Exemptions | |||||
|---|---|---|---|---|---|
|
FDCPA Applies to Original Creditors |
Homestead Exemption | Vehicle Exemption | Bank Account | Wages | |
| Alabama | $5,000 (can double) | None | $3,000 | 75% | |
| Alaska | $70,200 | $3,900 | $1,820 or $2,860 | $456-7161 | |
| Arizona | $150,000 | $5,000 | $150 | 75% | |
| Arkansas | Unlimited (<1/4 acre) | $1,200 | $800 or $1250 | 75% | |
| California | Yes | $50,0004 | $5,000 (2x) | $0 | 75% |
| Colorado | $30,000 | $5,000 | None | 75% | |
| Connecticut | $75,000 (2x if married) | $1,500 | $1,000 | 75% | |
| Delaware | None (if both owe $) | None | $500 | 85%5 | |
| D.C. | Yes | Unlimited | $2,575 | $850 | 75% |
| Florida | Yes | Unlimited | $1,000 | None | 100%2 |
| Georgia | $10,000 (can double) | $3,500 (2x) | $600 | 75% | |
| Hawaii | Yes | $30,000 | $2,575 | None | 80% |
| Idaho | $50,000 | $5,000 | $800 | 75% | |
| Illinois | $15,000 (can double) | $1,200 | $2,000 | 85%6 | |
| Indiana | $7500 (can double) | None | $4,000 | 75% | |
| Iowa | Yes | Unlimited | $5,000 | $100 | 75%3 |
| Kansas | Unlimited | $20,000 | None | 75% | |
| Kentucky | $5,000 | $2,500 | $1,000 | 75% | |
| Louisiana | $25,000 | None | None | 75% | |
| Maine | $25,000 (ask) | $5,000 | $400 | 75% | |
| Maryland | Yes | None (if both owe $) | $2,500 | $3,000 | 75% |
| Massachusetts | Yes | $300,000 | $700 | $425 | 75% |
| Michigan | Yes | $3,500 | None | None | 75% |
| Minnesota | $200,000 | $3,600 | None | 75% | |
| Mississippi | $75,000 | $10,000 | None | 75% | |
| Missouri | $8,000 | $1,000 | $1,250 | 75% | |
| Montana | $60,000 | $2,500 | None | 75% | |
| Nebraska | $12,500 | $2,500 | $2,500-Auto | 85% | |
| Nevada | $125,000 | $4,500 | None | 75% | |
| New Hampshire | Yes | $30,000 | $4,000 | $8,000 | 75% |
| New Jersey | None (if both owe $) | $1,000 | $1,000 | 90%7 | |
| New Mexico | Yes | $30,000 (may double) | $4,000 | $2,000 | 75% |
| New York | Yes |
Varies by county See CVP § 5206 |
$4,000 | $2,5008 | 90% |
| North Carolina | Yes | $10,000 (may double) | $1,500 | $500 | 100% |
| North Dakota | $80,000 | $1,200 | $7,500 | 75% | |
| Ohio | $25,000 | $3,225 | $400 (2x) | 75% | |
| Oklahoma | Unlimited | $3,000 | None | 75% | |
| Oregon | Yes | $25,000 ($30K couple) | $1,700 (2x) | $400 | 75% |
| Pennsylvania | Yes | None (if both owe $) | None | $300 | 100% |
| Rhode Island | $150,000 | $10,000 | None | 75% | |
| South Carolina | Yes | $5,000 (can double) | $1,200 | $1,000 | 100% |
| South Dakota | Unlimited | $6,000 | 6k-Auto | 75% | |
| Tennessee | $5,000 ($7.5K cpl) | $4,000 | $4,000 wildcard9 | 75% | |
| Texas | Yes | Unlimited | Unlimited | None | 100% |
| Utah | $20,000 (can double) | $2,500 or $3,500 | None | 75% | |
| Vermont | Yes | $75,000 (can double) | $2,500 | $1,100 | 75% |
| Virginia | $5,000 (+$500/kid 2x) | $2,000 | None | 75% | |
| Washington | $40,000 | $2,500 | $200 | 75% | |
| West Virginia | Yes | $25,000 (can double) | $2,400 | $800+ | 75% |
| Wisconsin | Yes | $40,000 | $1,200+ | $1,000 | 75% |
| Wyoming | $10,000 (can double) | $2,400 | None | 75% | |
| Notes |
1. Alaska: $716/wk (head of family) or $456/wk (non-head of family) |
||||
The amounts listed in the chart’s columns are what is protected from collection, what you will be left with should a collector come after a particular asset or your income. Pay attention to the footnotes, where listed.
The Homestead Exemption shows the amount of equity in your primary residence that even a judgment-creditors cannot pursue. The exact amount you can protect depends on the exemption in your state of residence. Some states have no exemption whatsoever. Some states have unlimited exemptions, where all the equity in an expensive mansion is completely protected.
The Vehicle Exemption protects equity in one vehicle up to the amount listed for your state. If you owe money on the vehicle, subtract what you owe from what it is worth, to see if your vehicle is totally exempt or not. In some states, a vehicle that is worth more than the exempt amount can be seized and sold, with the exempt amount returned to the owner.
The Bank Account Exemption lists how much is safe from a judgment-creditor’s collection efforts. Some states offer no protections; anything in your account can be levied.
The Wage Exemption shows what part of your wages are protected, the amount that most creditors cannot pursue.
Although we believe this information to be accurate as of the date of its posting, we cannot guarantee the accuracy of the information provided. Consult with an attorney in your state for specific information regarding the laws and exemptions that apply to you in your circumstances.
Learn more about:
- Bankruptcy Information | Tips, Laws, Questions and Advice
- Credit Card Debt | Tips & Advice to Save Money on Debt
- Debt Relief - Top 6 Debt Relief Tips You Need to Know
- Debt Relief Options: Debt Settlement Pros
- Served Summons and Complaint
New Castle, DE | February 09, 2012
February 09, 2012
January 30, 2012
January 31, 2012
If the ex-husband continues to ignore the debt, and a collection agent files an action against the ex-wife, consult with a lawyer immediately.
Salisbury, MD | January 28, 2012
January 29, 2012
I recommend that you put together your bank statements and any documents relating to the court judgment and see a lawyer. If you cannot afford a lawyer call your county bar association and ask for the names of the organizations that provide no-cost legal services to people with low or no income in your area. Make an appointment with one of the organizations, and bring all of the documents and letters you have regarding the debt to your meeting. The lawyer you meet will advise you accordingly.
Spencerville, OH | January 26, 2012
January 27, 2012
Angelica, NY | January 25, 2012
January 25, 2012
January 26, 2012
Typically, when this happens it’s a case where either the issuer is still collecting and, at the same time, have outsourced it to a third party OR they accidentally outsourced it twice.
When files are exchanged on this large a scale (large amounts of delinquent accounts each month with the credit issuer) the issuers put in parameters that trigger the accounts to move back and forth between their internal collections and their third parties.
The problem typically surfaces when an account is marked as "ptp" ("potential to pay" or "promise to pay") by the collector. An account could be marked this way for several reasons, including due to having just talked to the debtor. Marking this account "PTP" secures it off the dialer and in that collector's queue. However, another trigger occurs when there is no payment on an account for 30 or more days. This conflicts with the dialer’s PTP mark and could potentially have the account simultaneously stay with the collector AND move to another 3rd party.
The best scenario is for the client to call the issuer (the bank that backs their credit card) and let them know that two different entities are collecting on the account. The more information (creditor/phone number/collector info, etc) they can provide the better. The issuer is responsible for sorting this out. However, they will be in no hurry to fix this so the debtor needs to be patient.
If the calls become too much, the debtor needs to tell the collector calling "this is my WORK phone or CELL phone and I am telling you not to call this number" and then hang up. The FDCPA mandates that no collection calls can continue to either a cell phone (charges could accrue) or work phone (potential inhibitor of work/earnings) once the debtor has identified that number as such.
San Jose, CA | January 21, 2012
January 21, 2012
San Jose, CA | January 21, 2012
January 22, 2012
A collection agent can be headquartered in your state of residence, or another. Most states require collection agents to have a permit or license in the state where they try to collect money.
A creditor may file an action (a lawsuit) in your city or town of residence, or in another courthouse in your state. State and federal civil procedure laws are a bit complex, so it is impossible to know if or where an action was filed against you without knowing more about your case.
Consult with a lawyer in you state who has civil litigation experience. He or she will conduct research to learn if an action was filed against you.
San Jose, CA | January 21, 2012
January 21, 2012
January 21, 2012
January 21, 2012
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