When you get into debt, it's easy for that debt to become unmanageable. You can then be sued by a creditor. If the judge rules against you, you may then see your wages garnished for the purpose of repaying this debt. Those in the state of Rhode Island facing garnishment and judgment should prepare themselves by learning about the state's wage garnishment laws.
Monetary Limits
State law limits the amount that a creditor may garnish your wages. Rhode Island law sets this limit at 25 percent of your disposable income. The state defines disposable income as everything left over after paying for basic necessities such as transportation, shelter and utilities.
Time Limits
The state has statutes of limitations on the enforcement of debt. This means that there is a certain time limit for your creditors to get a judgment. After this time period has passed they can no longer collect on the debt. In Rhode Island, credit card debts and other open accounts, as well as written contracts, have a 10-year statute of limitations. Domestic and foreign judgments have a time limit of 20 years.
Exemptions
Anyone who has collected state assistance is exempt from all wage garnishments for one full year after getting off of assistance. There are also a number of types of income that are off-limits for garnishment. Most state and municipal employee pensions cannot be touched, nor can income received from public assistance. Other wages off-limits for garnishment include wages paid from charitable organizations to persons in need, wages owed to seamen and some types of military wages. Some protections, such as those on pension plans, only apply to people whose wages are being garnished for debt, not those being garnished for child support.
0 comments:
Post a Comment