Wage Garnishment Coming to NC?
Is wage garnishment coming to North Carolina?
Currently North Carolina is one of a handful of states that do NOT allow wage garnishment to satisfy NC judgments based upon consumer debts. (NC residents may be subject to wage garnishment from an out of state judgment) Consumer debts do not include tax debt, alimony, post-separation support, alimony, and child support. This affords North Carolina residents a great protection from their creditors much to the dismay of collection advocates.
The North Carolina legislature is considering House Bill 30 which would allow up to 25% wage garnishment to satisfy Civil Judgments. According to reports, garnishment would only apply to judgments entered after the law is enacted and only impact those who make 30 times the Federal minimum hourly wage per work week, with the burden on the debtor to request a hearing if they believe they make less.
Those who make 30 times the hourly minimum wage probably shouldn’t have civil consumer judgements against them… I’m more concerned about the “little guys” who were caught up in the financial mess and will now have one more strike against them. Credit checks for employment, etc… It’s all a bunch of mess.