HB 1864

Abstract

Poor debtor's exemption; depository institution account exemption. Allows a householder to hold exempt from creditor process up to $500 held in a depository institution. The bill provides that a depository institution shall, upon receipt of an order of garnishment, attachment, or other levy, answer such order and, if the householder maintains a deposit account or accounts with such depository institution, state that (i) the total amount in such account or accounts does not exceed $500 or (ii) the total amount in such account or accounts does exceed $500 and that the amount of funds in excess of $500 is being held by such institution pending further order of the court. The bill further provides that, beginning on April 1, 2027, any increases in exempt amounts shall be adjusted at three-year intervals to reflect the change in the Consumer Price Index for all urban consumers (CPI-U), as published by the Bureau of Labor Statistics of the U.S. Department of Labor. The bill provides that such adjustments shall be calculated by the Department of Planning and Budget.

A BILL to amend and reenact § 34-14 of the Code of Virginia, relating to garnishments; automatic exemption; accounts with depository institution.