Connecticut 2021 Regular Session

Connecticut House Bill HB06372

Introduced
2/3/21  
Refer
2/3/21  
Report Pass
2/23/21  
Report Pass
2/23/21  
Refer
3/9/21  
Refer
3/9/21  
Report Pass
3/16/21  
Report Pass
3/16/21  
Engrossed
6/2/21  
Engrossed
6/2/21  
Report Pass
6/3/21  
Report Pass
6/3/21  
Passed
6/8/21  
Passed
6/8/21  
Chaptered
6/24/21  
Enrolled
6/28/21  
Enrolled
6/28/21  
Passed
7/7/21  

Caption

An Act Exempting From Execution Certain Funds In A Judgment Debtor's Account.

Impact

The bill modifies existing statutes that govern the handling of financial executions against judgment debtors' accounts. Under the amended regulations, specific exemptions apply, which mean that certain deposits will be protected from being garnished by creditors. This change is significant as it alters the balance between creditors' rights to collect on debts and the need to protect vulnerable individuals from losing essential income. Creditors are still able to execute on debts but must follow stricter guidelines regarding exempt funds, potentially reducing the total recoverable amount.

Summary

House Bill 06372, also known as An Act Exempting From Execution Certain Funds In A Judgment Debtor's Account, aims to protect specific funds within the accounts of individuals who have been subjected to judgments. It sets forth regulations that dictate how much money can be seized by creditors, particularly focusing on exempt funds such as Social Security benefits, unemployment benefits, and certain wages. The bill intends to ensure that judgment debtors are not stripped of all their financial resources, allowing them to retain essential funds for basic living expenses.

Sentiment

The sentiment surrounding HB 06372 appears to be largely positive among advocates for consumer rights and financial protection, who see it as a necessary measure for safeguarding vulnerable debtors. However, there are concerns from creditor groups who may view the bill as overly restrictive and potentially hampering their ability to collect debts. The debate reflects broader discussions about the fairness and ethics of debt collection practices and the importance of ensuring debtors can maintain a baseline level of financial security.

Contention

Notable points of contention include the delineation of what constitutes exempt funds and the thresholds for these exemptions. Critics argue that the definitions may lead to confusion or abuse, complicating collections further. Proponents, however, emphasize the need to protect the most vulnerable segments of the population from aggressive debt collection practices. The bill ultimately seeks to balance the rights of creditors with the financial security of debtors, a contentious issue that highlights the ongoing tension in financial regulation.

Companion Bills

No companion bills found.

Previously Filed As

CT HB05142

An Act Concerning Consumer Credit, Certain Bank Real Estate Improvements, The Connecticut Uniform Securities Act, Shared Appreciation Agreements, Innovation Banks, The Community Bank And Community Credit Union Program And Technical Revisions To The Banking Statutes.

CT SB00501

An Act Concerning Motor Vehicle Assessments For Property Taxation, Innovation Banks, The Interest On Certain Tax Underpayments, The Assessment On Insurers, School Building Projects, The South Central Connecticut Regional Water Authority Charter And Certain State Historic Preservation Officer Procedures.

CT HB05145

An Act Concerning Innovation Banks.

CT SB00426

An Act Concerning Court Operations And Administrative Proceedings.

CT HB05276

An Act Eliminating Tax Exemptions For Certain Real Property Acquired By Independent Institutions Of Higher Education.

CT SB00123

An Act Concerning Coerced Debt.

CT HB05523

An Act Concerning Allocations Of Federal American Rescue Plan Act Funds And Provisions Related To General Government, Human Services, Education And The Biennium Ending June 30, 2025.

CT SB00450

An Act Phasing In The Exemption Of Motor Vehicles From Property Tax And Increases In The Uniform Property Assessment Rate.

CT SB00447

An Act Concerning The Failure To File For Certain Grand List Exemptions And Authorizing The Deferral Of A Certain Municipality's Real Property Revaluation.

CT HB05144

An Act Concerning The Assignment Of Certain Liens.

Similar Bills

CT HB06786

An Act Concerning Service Of Bank Executions, Wage Executions And Tax Warrants By State Marshals And Authorized Service Of Process By Indifferent Persons.

CT HB05491

An Act Concerning The Amount Of Money Financial Institutions Must Leave In A Judgment Debtor's Account During A Bank Account Execution.

CT SB00306

An Act Concerning Executions On Judgments.

CT SB00129

An Act Concerning Protection Of Exempt Funds In Bank Accounts.

CT SB00979

An Act Concerning Protection Of Exempt Funds In Bank Accounts.

CT HB06994

An Act Concerning The Amount Of Money Financial Institutions Shall Leave In A Judgment Debtor's Account After A Bank Account Execution.

CA AB2067

Financial institutions: service of process.

CA AB35

Civil damages: medical malpractice.