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Wage Protection: Higher Garnishment Threshold and Ban on Debt Imprisonment.

New rules increase the amount of wages protected from creditors, meaning more money stays with workers. The law also explicitly prohibits debt collection practices that threaten arrest or imprisonment for debt, safeguarding citizens from such actions. Employers cannot fire an employee solely because their wages have been garnished.
Key points
Increased protected wage amount from garnishment to $1000 per week, with annual inflation adjustments.
Prohibition on firing employees due to wage garnishment.
Explicit ban on threatening arrest or imprisonment for debt collection.
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Status:
Expired
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Additional Information
Print number: 117_HR_9224
Sponsor: Rep. Adams, Alma S. [D-NC-12]
Process start date: 2022-10-25