Admin no. - 2008-41
Issued - 5-19-09
Effective - 9-1-09
Makes two amendments to the cited rule.
Adds a new (H)(1)(c), which states:
A bank or other financial institution, as garnishee, shall not withhold exempt funds of the debtor from an account into which only exempt funds are directly deposited and where such funds are clearly identifiable upon deposit as exempt Social Security benefits, Supplemental Security Income benefits, Railroad Retirement benefits, Black Lung benefits, or Veterans Assistance benefits.The second adds subrule (I)(6):
A bank or other financial institution, as garnishee, shall not withhold exempt funds of the debtor from an account into which only exempt funds are directly deposited and where such funds are clearly identifiable upon deposit as exempt Social Security benefits, Supplemental Security Income benefits, Railroad Retirement benefits, Black Lung benefits, or Veterans Assistance benefits.This directs banks, etc., not to withhold (turn over to the judgment creditor) funds if:
- the funds are exempt
- they are directly deposited, and
- they are clearly identifiable upon deposit as exempt funds of the categories listed.
