OVERVIEW
If you owe money to a creditor, who is trying to collect the debt by taking your property or money, some of
your assets are protected by law. Some money cannot be taken from your bank account at all. This money is
called “not subject to garnishment.” Some of your money or other assets may be taken, but you should be able
to get them back, if you follow the procedures. These assets are called “exempt.” If all of your assets are
exempt or not subject to garnishment you are called “judgment proof.” If you are judgment proof this means
even if a creditor gets a judgment and garnishes you, they will have to give back anything they get, IF you
follow the court procedures to do a “Claim of Exemption.” Finally, if you have money or property over certain
limits the creditor can take and keep those assets. These assets are called garnishable or non-exempt property.
GARNISHMENT
Garnishment is a legal process that lets a creditor take your money or property to pay a debt you owe. Creditors
may garnish your money or property only after they have sued you and obtained a court judgment. It is
important to understand the garnishment process if: (1) a creditor has gotten a court judgment against you; (2) a
creditor is suing you in court for a debt; (3) a creditor is threatening to sue you in court for a debt; or, 4) you are
opening a new account and want to protect deposits to the account. You do have rights even if a creditor has a
judgment against you, and they are not allowed to threaten or harass you or your family to get you to pay a debt.
FUNDS NOT SUBJECT TO GARNISHMENT
Income from some sources is always protected from creditors and can’t be garnished at all. It is called “not
subject to garnishment.” To qualify, the money must be: 1) readily identifiable; 2) direct-deposited into your
bank account; and 3) come from one or more of the following sources.
* Payments from the Social Security Administration, including SSI and SSD;
* Public assistanc