Alabama Debtor Exemption Laws

Authored By: Legal Services Alabama

If a creditor (someone you owe money to) goes to court and gets a judgment against you, they can try to take some of your paycheck, your personal property, or your house to get their money.

For more information on Wage Garnishment, click here.

For more information on other types of Executions, click here.

But you can claim some money and property as “exempt.” This means they cannot get this money.*


Homestead Exemption


Personal Property Exemption


* Exemption amounts may be lower for debts incurred before June 11, 2015.

  • Homestead Exemption applies to the equity in your home. (Estimate: Value – Amount Owed = Equity)
  • Personal Property Exemption = value of your cars (minus any money owed), bank accounts, and any other personal property you own.
  • All exemption amounts double if you are married and own property jointly.


Money that is typically always exempt:

  •  Unemployment compensation
  •  Social Security benefits
  •  Child support
  •  Teachers’ retirement system benefits
  •  State employees’ retirement system benefits
  •  Veterans’ pensions
  •  Public safety officer’s death benefits money paid
  •  Federal Retirement benefits
  •  Federal Civil Service disability and death benefits
  •  Veterans’ group life insurance benefits and servicemen’s group life insurance benefits
  •  ERISA benefits

 For more specific information on your particular case, consult a lawyer. 

To apply for free legal services in Alabama, call the Legal Services Alabama office that is closest to where you live OR call toll-free 1-866-456-4995. You can also apply online HERE.

Last Review and Update: Jan 30, 2020
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