Kentucky Laws on Wage Garnishment, Statute of Limitations on Debt and Bankruptcy Property Exemptions
WAGE GARNISHMENT EXEMPTION:  75% of disposable income or 30 times the federal minimum hourly wage, whichever is greater

MAXIMUM INTEREST RATE:  Legal: 8%  Judgment: 12%


Open Account (credit card):  5 years
Written Contract: 15 years
Oral Contract: 5 years
Domestic Judgment: 15 years
Foreign Judgment: 15 years



Can use either the federal exemptions or the state exemptions below

The State of Kentucky exempts the property and income below from seizure by the bankruptcy court to pay creditors:

Real Estate:  Real or personal property used as residence (or proceeds from sale) up to $5,000 [427.060 and 427.090]
Personal property:  Clothing, jewelry or furnishings up to $3,000 [427.010(1)]; health aids, unlimited amount [427.010(1)]; motor vehicle up to $2,500 [427.010(1)]; personal injury recoveries up to $7,500, but does not include pain and suffering or pecuniary loss [427.150(2)(c)]; tools of a non-farmer up to $300 [427.30]; tools, equipment, livestock and poultry of  farmer up to $3,000 [427.010(1)]; lost earnings payments, amount needed for support [427.150(2)(d)]; burial plot up to $5,000 in lieu of real estate exemption [427.060]; medical expenses benefits received under state motor vehicle reparation law, unlimited amount [304.39-260]; library, instruments, equipment and furnishings of minister, attorney, physician, surgeon, chiropractor, veterinarian or dentist up to $1,000 [427.040]; motor vehicle of mechanic, mechanical or electrical equipment servicer, minister, attorney, physician, chiropractor, veterinarian or dentist up to $2,500 [427.030 and 427.040]; wrongful death recoveries [427.150(2)(b)]

Debt Statutes  > Kentucky
Insurance / Annuities:  Group life insurance proceeds, unlimited amount [304.14-320]; health or disability benefits, unlimited amount [304.14-310]; fraternal society benefits, unlimited amount [427.110(2)]; annuity contract proceeds up to $350 per month [304.14-330]; life insurance policy if beneficiary is a married woman, unlimited amount [304.14-340]; life insurance proceeds if policy prohibits proceeds from being used to pay creditors, unlimited amount [304.14-350]; life or casualty insurance benefits, unlimited amount [427.110(1)]; life insurance proceeds or cash value if beneficiary is someone other than insured, unlimited amount [304.14-300]
Pensions / Retirement Plans:  Firefighters and police officers, unlimited amount [67A.620, 95.878, 427.120, 427.125]; teachers, unlimited amount [161.700]; state employees, unlimited amount [61.690]; urban county government employees, unlimited amount [67A.350]; other pensions, unlimited amount [427.150(2)(e)]
Public Benefits / Entitlements: Unemployment compensation, unlimited amount [341.470]; workers compensation, unlimited amount [342.180]; crime victims compensation, unlimited amount [427.150(2)(a)];  aid to aged, blind, disabled and families with dependent children, unlimited amount [205.220]
Wages:  75% of earned but unpaid wages [427.010(2) and (3)]
Miscellaneous:  Alimony or child support, amount needed for support [427.150(1)]; business partnership property, unlimited amount [362.270]; any real or personal property up to $1,000 [427.160]