Notice of Right to claim exemptions in NC

In North Carolina you only have 20 days to claim your exemptions after being served. Failure to properly file your exemptions with the Court may expose your bank accounts, house, car, and other property to seizure. Even your house and car you are still paying on may be sold if you waive your exemptions. What if your car has no equity- why would the creditor want it? To get your attention.  

North Carolina generally does not allow for garnishment of wages for Civil Judgments. This leaves little options for creditors outside of seizing property to satisfy judgments. If you have been served by the Sheriff or certified mail make sure you properly file your exemptions with the Court within 20 days.  

Exemptions to claim in NC

• Bank accounts (List your Checking, Savings, and any accounts joint with a parent, spouse etc…)
  
• Houses (Do you own a 2nd rental house?)
  
• Land (are you on property with a sibling or parent?)
  
• Cars (check your car title or registration to see if you are listed on a car driven by child or spouse)
  
• Jet Ski, boat etc... (What can the Sheriff see if he walks around your house?)
  
• Household goods (Furniture, clothes, TV’s, etc…)
  
• 401K’s and IRA’s (do you have any non-retirement brokerage accounts?)
  

What is the creditor looking to take- Bank accounts and large items that can be sold at an auction such as land, cars, boats, and ATV’s. Although your couch would not clear the auction fees, you are best served to list it or else you leave it exposed.   

Practical Tips:

1. Remember there is no official spot to list your bank account on the forms supplied by the Court- don’t leave your bank account exposed as that is often the first place creditors go.  
   
2. Make sure you don’t put more in your bank account that you claim as exempt.
   
3. Don’t let the Sheriff in your house without a warrant (unlikely he will have one)
   
4. File your exemptions at the Courthouse and serve a copy of your filed exemptions on the creditor.