Compliance Bulletin

State Account Benefits Exemption Limits Increased
April 8, 2013

The California Judicial Council has adjusted the exemption amounts in the state’s benefits exemption limits under Code of Civil Procedure section 704.080. These are the social security and public benefit amounts that banks are obliged to exempt from garnishments, writs and other legal process. The new exemptions below (showing the increase from April 1, 2010) are effective April 1, 2013:

• $1,425.00 to $1,525.00 where one depositor is the designated payee of a directly deposited public benefit payments.
• $2,875.00 to $3,050.00 where one depositor is the designated payee of directly deposited Social Security benefit payments.
• $2,150.00 to $2,275.00 where two or more depositors are the designated payees of directly deposited public benefit payments.
• $4,300.00 to $4,575.00 where two or more depositors are the designated payees of directly deposited Social Security benefit payments.

To understand how these limits relate to the federal garnishment rule, see CBA’s Regulatory Compliance Bulletin dated February 28, 2011 prepared by Ted Kitada, Senior Company Counsel for Wells Fargo Bank.

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