Which states ban debt collectors from wage garnishment?

Americans currently hold a record $1.28 trillion in credit card debt, leading to increased collection efforts and potential lawsuits. If creditors win a judgment, they can implement wage garnishment, taking up to 25% of disposable income. Four states—Texas, Pennsylvania, North Carolina, and South Carolina—prohibit wage garnishment by private creditors, while others follow federal guidelines. Debtors have options to challenge garnishments or negotiate settlements, but they must act quickly to protect their income.

Want More Context? 🔎