HB 601: Exemptions from garnishment; minimum protected account balance, certain benefit payments.

Official summary

Abstract published by the legislature (via Open States). Text as published by the legislature; reproduced verbatim.

Exemptions from garnishment; minimum protected account balance; certain benefit payments; procedure for financial institutions. Requires certain financial institutions to automatically exempt from garnishment (i) a minimum protected account balance, defined in the bill as the combined total of not more than $1,000 in a judgment debtor's account or across multiple accounts in the same financial institution, and (ii) a protected amount of certain benefit payments, defined in the bill, that have been deposited into the account via direct deposit or electronic deposit within the two months immediately preceding the day before a financial institution commences an account review. The bill describes an account review as a process of examining an account of a judgment conducted by a financial institution upon such financial institution's receipt of a garnishment summons to determine if any eligible benefit payments have been deposited within the applicable time period and, if so, to calculate the total sum of such benefit payments and establish the total as a protected amount that shall be automatically exempt from garnishment. The bill provides that such procedure to automatically exempt such funds shall not apply if the debt arises from a child support or spousal support obligation or if an exemption is otherwise prohibited by law.The bill further provides that a judgment debtor is not required to claim nor request a hearing for such automatic exemptions. Finally, the bill makes updates to the relevant provisions governing garnishment proceedings, notices to the garnishee and judgment debtor, and the form of a garnishment summons consistent with the provisions of the bill. This bill is identical to SB 301.

Sponsors

Sponsors by party (alphabetical): Democratic 11

“Support” is shown only as formal sponsorship recorded by the legislature. Roll-call votes are available on the official bill page.

Recent official actions

1. April 13, 2026Acts of Assembly Chapter text (CHAP0637)
2. April 13, 2026Approved by Governor-Chapter 637 (effective 7/1/2026)
3. March 10, 2026Governor's Action Deadline 11:59 p.m., April 13, 2026
4. March 10, 2026Enrolled Bill communicated to Governor on March 10, 2026
5. February 25, 2026Signed by President
6. February 25, 2026Signed by Speaker
7. February 25, 2026Bill text as passed House and Senate (HB601ER)
8. February 25, 2026Enrolled
9. February 23, 2026Passed Senate (20-Y 18-N 0-A)
10. February 23, 2026Read third time
11. February 20, 2026Passed by for the day Block Vote (Voice Vote)
12. February 20, 2026Constitutional reading dispensed Block Vote (on 2nd reading) (40-Y 0-N 0-A)

Showing 12 most recent of 27 actions. Full history