Some of your property is automatically protected from collection, and some you must claim by filing court papers or telling the court at a hearing. Knowing the difference helps you keep what the law lets you keep.
What's protected automatically?
At least 85% of your gross wages is protected from garnishment automatically — you don't have to file anything.
What do I have to claim in court?
To protect other property, you must ask the court for an exemption. You do this by filing paperwork or going to a court hearing.
Protected property includes Social Security benefits, veteran's benefits, child support and alimony, and more. You can also use the "wildcard exemption" to protect up to $4,000 in your bank account.
When can I tell the court that I want an exemption?
If a creditor takes you to court and wins a judgment, they file paperwork called Citations to Discover Assets. Pay attention to these papers. You can go to the court on the date listed on the Citation to Discover Assets to tell the court that you want to claim exemptions and protect your property.