North Carolina Laws on Wage Garnishments, Statute of Limitations on Debt and Bankruptcy Property Exemptions

WAGE GARNISHMENT EXEMPTION:  All of last 60 days earnings needed for family's support; garnishments not granted to general creditors (only for government services and taxes)

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


Open Account (credit card):  3 years
Sale of Goods: 4 years
Written Contract: 3 years
Domestic Judgment: 10 years
Foreign Judgment: 10 years

BAD CHECK LAW DAMAGES:  $500 or three times the check amount, whichever is less, but not less than $100


Cannot use federal exemptions, but can claim the federal non-bankruptcy exemptions

The State of North Carolina has exempted the property and income below from seizure by the bankruptcy court to pay creditors:

Real Property:  Real or personal property claimed as residence up to $10,000 [1C-1601(a)(1)]
Personal Property:  Animals, appliances, clothing, furnishings and household goods, books, musical instruments and crops, up to $3,500 total (can add $750 additional per dependent, but can't exceed $3,000 for all dependents) [1C-1601(a)(4)]; automobile up to $1,500 [1C-1601(a)(3)]; health aids, unlimited amount [1C-1601(a)(7)]; implements, books and tools of trade up to $750 [1C-1601(a)(5)]; burial plot up to $10,000 in lieu of real estate exemption [1C-1601(a)(1)]; personal injury and wrongful death recoveries, unlimited amount [1C-1601(a)(8)]

Debt Statutes  > North Carolina 
Insurance / Annuities:  Fraternal society benefits, unlimited amount [58-24-85]; life insurance policy or proceeds, unlimited amount [1C-1601(a)(6)], employee group life policy or proceeds, unlimited amount [58-58-165]
Pensions / Retirement Plans:  IRAs, unlimited amount [1C-1601(a)(9)]; legislators, unlimited amount [120-4-29]; firefighters and rescue workers, unlimited amount [58-86-90]; municipal and county employees, unlimited amount [128-31]; teachers, unlimited amount [135-9]; state employees, unlimited amount [135-95]; law enforcement officers, unlimited amount [143-166-30(g)]
Public Benefits / Entitlements: Unemployment compensation, unlimited amount [96-17]; workers compensation, unlimited amount [97-21]; crime victims compensation, unlimited amount 15B-17]; aid to blind and families with dependent children, unlimited amount [108A-36]; special assistance, unlimited amount [111-18]
Wages: Earned but unpaid wages received sixty days before filing for bankruptcy, amount needed for support [1-362]
Miscellaneous:  Business partnership property, unlimited amount [59-55]; any property up to $3,500 in lieu of real estate or burial plot exemption [1C-1601(a)(2)]