Alaska Laws on Wage Garnishments, Statute of Limitation on Debt, and Bankruptcy Property Exemptions

Alaska State Laws on Wage Garnishments, Statute of Limitation on Debt, and Bankruptcy Property Exemptions

WAGE GARNISHMENT EXEMPTION: In Alaska, not more than 25% of a person's wages can be garnished in most circumstances. See exemptions under "Wages" on this page.

MAXIMUM INTEREST RATE: Rate stated in contract, otherwise 10.5% [45.45.010]

STATUTE OF LIMITATIONS ON DEBT COLLECTION

Promissory Notes and Open Ended Contracts (Credit Cards): 3 years

Oral and Written Contracts: 6 years

Domestic and Foreign Judgments: 10 years

BAD CHECK FEE: Can collect an amount equal to $100 or triple the amount of the bad check, whichever is greater, but never more than $1000 over the amount of the check [See 09.68.115]

ALASKA BANKRUPTCY PROPERTY EXEMPTIONS

The following information was obtained from the Alaska State Legislature website (www.legis.state.ak.us). The property exemption statutes are listed under the title, "Chapter 09.38 ALASKA EXEMPTIONS ACT". Below is a summary and not a complete list. Please visit the website to look up the complete list of exemptions if you are using them to complete your own bankruptcy forms.

Residents of Alaska can use either the federal exemptions or the state exemptions listed below. You should choose the set of exemptions that let you keep the most amount of property. Married couples can double the amount of the exemption on all property they own jointly, but they cannot double the homestead exemption.

Real Estate (Homestead Exemption): Up to $54,000 if property used as a residence [9.38.010]

Property Exempt Without Limitation [Sec. 09.38.015]:

a burial plot for the individual and the individual's family;

health aids reasonably necessary to enable the individual or a dependent to work or to sustain health;

benefits paid or payable for medical, surgical, or hospital care to the extent they are or will be used to pay for the care;

an award under AS 18.67 (Violent Crimes Compensation Board) or a crime victim's reparations act of another jurisdiction;

benefits paid or payable as a longevity bonus under AS 47.45;

compensation or benefits paid or payable and exempt under federal law;

liquor licenses granted under AS 04;

tuition credit or savings accounts under a higher education savings account established under AS 14.40.802 or an advance college tuition savings contract authorized under AS 14.40.809(a)

The right to benefits held by the state on behalf of an individual that may become payable by reason of disability, unemployment, or illness, amounts held in the teachers', judicial, or public employees' retirement system, or in the elected public officers' retirement system under former AS 39.37, and child support collections made by the child support services agency are exempt.

Property of the state, a municipality, and of the Alaska Municipal Bond Bank Authority or another state public corporation is exempt.

Real property held by a cemetery association established under AS 10.30 for the purpose of a cemetery and not exceeding 80 acres is exempt.

Money held in an escrow account under AS 06.60.360 is exempt.

Apartment or condo owners' association deposits [09.38.010]

Personal Property:

Clothing and household goods, books, musicial instruments, family portraits / heirlooms up to $4,050 [09-38-020]

Jewelry up to $1,350 and Pets up to $1,350 [9-38-020]

Professional books and tools of trade to $3,780 [9-38-020]

Motor vehicles up to $4,050 in equity (that are not valued more than $27,000) [9-38-020]

Wages:

Weekly net earnings up to $473 or $743 if head of household. If paid semi-monthly or monthly, up to $1,890 of cash or $2,970 if sole wage earner in the household [09.38.030; 09.38.050]

Insurance:

Unmatured life insurance policies and annuity contracts up to $13,500 [9-38-025]

Proceeds from dmaaged, destroyed or lost exempt property [9-38-060]

Retirement / Pensions:

ERISA benefits (deposited 120+ days before filing) and medical savings accounts [09.38.017]

Pension benefits [09.38.017]

Teachers, elected officers, and judicial and public employees [09.38.015]

Alimony (with exceptions) [09.38.015]

Child support distributed via a collection agency [09.38.015]

This page was last updated and checked for accuracy in December 2013.

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