New York Law on Wage Garnishments, Statutes of Limitation on Debt and Bankruptcy Property Exemptions
WAGE GARNISHMENT EXEMPTION: Ten percent (10%) of gross income, or the federal maximum, whichever is less
MAXIMUM INTEREST RATE: Legal: 16% Judgment: 9%
STATUTE OF LIMITATIONS ON ENFORCEMENT:
Open Account (credit cards) 6 years
Written Contract: 6 years Domestic Judgment: 20 (renewable) Foreign Judgment: 20 (renewable)BAD CHECK LAW DAMAGES: Amount of check plus double check amount up to $400 if NSF and up to $750 if written on nonexistent account
NEW YORK BANKRUPTCY PROPERTY EXEMPTIONS (Consolidated Laws of New York):
Can use either the federal exemptions or the state exemptions below
The State of New York has exempted the property and income below from seizure by the bankruptcy court to pay creditors:
Real Property: Real estate, condo, co-op or mobile home used as residence up to $10,000 [Civil Practice Law and Rules 5206(a)]
Personal Property: Bibles and books up to $50, enough food to last 60 days, schoolbooks, pictures, clothing, tableware, crockery and cooking utensils, church pew, stoves, fuel to last 60 days, sewing machine, furniture, refrigerator, TV, radio, wedding ring, watch to $35.00, burial place, pet and pet food to last 60 days, but not to exceed $450, with total amount not to exceed $5,000 [Civil Practice Law and Rules 5205(1)-(6)]; motor vehicle up to $2,400 [Debtor and Creditor 282(1); burial plot up to 1/4 acre [Civil Practice Law and Rules 5206(f)]; health aids, unlimited amount [Civil Practice Law and Rules 5205(h)]; cash, the lesser of $2,500 or $5,000 as an annuity, in lieu of real estate exemption [Debtor and Creditor 283(2)]; farm machinery and team with food for 60 days and business furniture, instruments and books up to $600 total [Civil Practice Law and Rules 5205(a)(7)]; wrongful death recoveries, amount needed for support [Debtor and Creditor 282(3)(ii)]; personal injury recoveries up to $7,500 [Debtor and Creditor 282(3)(iii)]; lost earnings recoveries, amount needed for support [Debtor and Creditor 282(3)(iv)]; security deposits, unlimited amount [Civil Practice Law and Rules 5205(g)]; uniforms, equipment and arms required for military, unlimited amount [Civil Practice Laws and Rules 5205(e)]
How to Deal with Debt Collectors
Federal and State Laws Regarding Debt Collection
State Laws Regulating Wage Garnishments
Insurance / Annuities: Annuity contract benefits, unlimited amount if not purchased within six months of bankruptcy and not tax-differed; otherwise up to $5,000 [Insurance 3212(d) and Debtor and Creditor 283(1)]; disability or illness benefits to $400 per month [Insurance 3212(c)]; life insurance proceeds if policy prohibits proceeds from being used to pay creditors, unlimited amount [Estates, Powers and Trusts 7-1.5(a)(2)]; life insurance proceeds if beneficiary is the spouse of the insured, unlimited amount [Insurance 3212(b)(2)]
Pensions / Retirement Plans: Retirement benefits, IRAs and Keoghs, amount needed for support [Debtor and Creditor 282(2)(e); Civil Practice Law and Rules 5205(c)]; state employees, unlimited amount [Retirement and Social Security 110]; public retirement benefits, unlimited amount [Insurance 4607]
Public Benefits / Entitlements: Workers compensation, unlimited amount [Debtor and Creditor 282(2)(c)]; veterans benefits, unlimited amount [Debtor and Creditor 282(2)(a)(c)]; crime victims compensation, unlimited amount [Debtor and Creditor 282(3)(i)]; disability, illness or unemployment benefits and general public assistance, unlimited amount [Debtor and Creditor 282(2)(a)(c)]; social security, unlimited amount [Debtor and Creditor 282(2)(a)(c)]; aid to aged, blind, disabled and families with dependent children, unlimited amount [Debtor and Creditor 282(2)(c)]
Wages: 90% of earned but unpaid wages received sixty days before filing bankruptcy [Civil Practice Law and Rules 5205(d) and (e)]
Miscellaneous: Alimony and child support, amount needed for support [Debtor and Creditor 282(2)(d)]; New York State College State tuition savings program not to exceed $10,000 [Civil Practice Laws and Rules 5205(j)]; business partnership property, unlimited amt [Partnership 51]; trust fund principal and 90% of income [Civil Practice Laws and Rules 5205(c) and (d)]
