New Jersey Laws on Wage Garnishments, Statute of Limitations on Debt and Bankruptcy Property Exemptions
WAGE GARNISHMENT EXEMPTION: Garnishment may not exceed 10% of gross salary. Monies may not be withheld if disposable weekly earnings are less than $154.50 per week or $309.00 every 2 weeks
MAXIMUM INTEREST RATE: Legal: 6% Judgment: None specified
STATUTE OF LIMITATIONS ON ENFORCEMENT:
Open Account (credit card): 6 years
Written Contract: 6 yearsDomestic Judgment: 20 yearsForeign Judgment: 20 yearsBAD CHECK LAW DAMAGES: None specified
NEW JERSEY BANKRUPTCY PROPERTY EXEMPTIONS (New Jersey Statutes Ann.)
Can use either the state exemptions below or the federal exemptions. The State of New Jersey has exempted the property and income below from seizure by the bankruptcy court to pay creditors:
Real Property: None
Personal Property: Furniture and household goods up to $1,000 [2A:26-4]; clothing, unlimited amount [2A:17-19]; burial plots, unlimited amount [8A:5-10]; any personal property or stock in corporation up to $1,000 total [2A:17-19]
Insurance / Annuities: Annuity contract proceeds to $500 per month [17B:24-7]; group life or health policy or proceeds, unlimited amount [17B:24-9]; disability, death, medical or hospital benefits for civil defense workers, unlimited amount [A:9-57.6]; health or disability benefits, unlimited amount [17:18-12 and 17B:24-8]; life insurance proceeds if proceeds cannot be used to pay beneficiary's creditors, unlimited amount [17B:24-10]; life insurance proceeds if debtor is not the insured [17B:24-6(b)]; military disability or death benefits, unlimited amount [38A:4-8]
How to Deal with Debt Collectors
Federal and State Laws Regarding Debt Collection
State Laws Regulating Wage Garnishments
Pensions / Retirement Plans: Retirement benefits, unlimited amount [43:13-9]; teachers, unlimited amount [18A:66-51]; alcohol beverage control officers, unlimited amount [43:8A-20]; county employees, unlimited amount [43:10-57 and 43:10-105]; firefighters and police officers, unlimited amount [43:16-7]; city board of health employees, unlimited amount [43:18-12]; civil defense workers, unlimited amount [A:9-57.6]; judges, unlimited amount [43:6A-41]; municipal employees, unlimited amount [43:13-44]; prison employees, unlimited amount [43:7-13]; public employees, unlimited amount [43:15A-53]; school district employees, unlimited amount [18A:66-116]; state police, unlimited amount [53:5A-45]; street and water department employees, unlimited amount [43:19-17]; traffic officers, unlimited amount [43:16A-17]
Public Benefits / Entitlements: Workers compensation, unlimited amt [34:15-29]; unemployment compensation, unlimited amt [43:21-53]; crime victims compensation, unlimited amt [43:21-53]; aid to aged and permanent disability benefits [44:7-35]
Wages: Ninety percent of earned but unpaid wages if income under $7,500, otherwise court decides amount [2A:17-56]
Miscellaneous: Business partnership property, unlimited amount [42:1-25]
