Arizona, Statutes of limitations on debt and exemptions for garnishment and bankruptcy

ARIZONA STATE LAW

Exempt from garnishment:

MAXIMUM INTEREST RATES

– Legal: 10% Judgment: 10% or contractual

STATUTE OF LIMITATIONS ON DEBT COLLECTION

– Open Account (credit card): 3 years
– Written Contract: 6 years (4 years if outside state)
– Domestic Judgment: 5 years (can be renewed indefinitely)
– Foreign Judgment: 4 years

BAD CHECK LAWS

– Twice the amount of check
– Litigation costs
– Reasonable attorney's fees.

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– One party state

BANKRUPTCY PROPERTY EXEMPTIONS

– Cannot use the federal exemptions, but can use the federal non–bankruptcy exemptions

Real Estate:

– Apartment
– Mobile home used as residence up to $100,000
– Sale proceeds are exempt for 18 months or until new home purchased, whichever occurs first (must record homestead declaration) [33–1101 and 33–1102]

Personal Property:

– Bible, bicycle, sewing machine, typewriter, burial plot, rifle, pistol or shotgun, up to $500 total [33–1125];
– Books to $250
– Clothing to $500
– Wedding and engagement rings to $1,000
– Watch to $100
– Pets, horses, milk cows and poultry to $500
– Musical instruments to $250 [33–1125]
– health aids, unlimited amount [33–1125]
– Motor vehicle to $1,500 (up to $4,000 if disabled) [33–1125(B)
– Bank deposit to $150 in one account (must file notice with bank) [33–1126(A)(7)]
– Proceeds for sold or damaged exempt property up to exemption amount [33–1126(A)(4) and (6)]
– Food, fuel and provisions for 6 months [33–1124]
– Arms, uniforms and equipment required for military use, unlimited amount [33–1130(3)]
– Appliances, furniture, household goods, paintings up to $4,000 [33–1123]
– Farm machinery and equipment, utensils, seed, feed, grain and animals up to $2,500 total [33–1130(2)]
– Prepaid rent or security deposit up to $1,000 or 1 1/2 times rent, whichever is less, instead of real estate exemption [33–1126(D)]
– Tools, equipment, instruments and books, except vehicle driven to work up to $2,500 [33–1130(1)]
– Teaching aids of teacher, unlimited amount [33–1127]

Insurance / Annuities:

– Group life insurance policy or proceeds, unlimited amount [20–1132]
– Health, accident or disability benefits, unlimited amount [33–1126(A)(4)
– Life insurance cash value to $1,000 per dependent and $25,000 total [33–1126(A)(6)]
– Life insurance proceeds to $20,000 if beneficiary is spouse or child (husband and wife may double) [33–1126(A)(1) and 33–1121.01]
– Fraternal society benefits, unlimited amount [20–877]

Pensions / Retirement Plans:

– Board of Regents members, unlimited amt [15–1628(l)]
– Firefighters and police officers, unlimited amount [9–968 and 9–931]
– Public safety personnel, unlimited amt [38–850(C)
– State employees [38–792]; rangers, unlimited amount [41–955]
– Retirement benefits deposited more than 120 days before filing bankruptcy, unlimited amount [33–1126(C)2]

Public Benefits / Entitlements:

– Unemployment compensation, unlimited amount [23–783]
– Workers' compensation, unlimited amount [23–1068]
– Welfare benefits, unlimited amount [46–208]
– Wages: 25% of earned but unpaid wages or pension payments (allowances for low–income debtors) [33–1131];
– Minor child's earnings, unless debt is for child, unlimited amount [33–1126(A)(2)]

Miscellaneous:

– Property of business partnership, unlimited amount [29–225]

Arizona is a community property state