What Property Is Exempt From Creditors in Maryland?

In Maryland, the single most useful protection against a judgment creditor is the state's $6,000 "wildcard" exemption under Maryland Code, Courts and Judicial Proceedings (CJP) § 11-504(b)(5). It lets you shield up to $6,000 in cash or any property of your choosing - including money in a bank account or the equity in a car - but only if you formally elect it within 30 days after your property is attached or levied on. Unlike many states, Maryland has no separate motor-vehicle exemption, so this wildcard is often how Marylanders protect a vehicle. Miss the 30-day window and you lose the wildcard, which is why acting quickly after a garnishment or bank levy matters so much here.

Below is how Maryland's exemption system works, what it covers, the federal protections that sit underneath it, and the exact steps to claim what is yours after a judgment.

Maryland's core personal-property exemptions

Maryland's main list of exempt personal property is found in CJP § 11-504(b). The key categories are:

• Tools of the trade - up to $5,000. Wearing apparel, books, tools, instruments, or appliances necessary for your trade or profession (a motor vehicle does not count here).
• Household goods - up to $1,000. Household furnishings, goods, apparel, books, animals kept as pets, and similar items for you and your dependents.
• Health aids. Professionally prescribed or medically necessary health aids are fully exempt.
• Money for sickness, accident, injury, or death. Funds payable for disability, health, accident, or similar benefits are protected.
• The $6,000 wildcard. Cash or property of any kind up to $6,000, if you elect it within 30 days of the levy or attachment.

These dollar figures are set by statute and have been stable, but you should still confirm them against the current text of CJP § 11-504 before relying on a number, because the legislature periodically revises the amounts.

The Maryland homestead exemption for your home

For decades Maryland was unusual in offering little protection for home equity. That changed with the homestead exemption now in CJP § 11-504(f), which protects equity in owner-occupied residential real property (your principal home). The exemption amount is indexed and adjusted for inflation periodically, so it rises over time. As of 2026 it sits in the mid-$20,000 range, but because this figure is updated on a recurring schedule, you must confirm the current amount with the official statute or the court before relying on it. Two important limits apply: the homestead exemption generally cannot be combined with the $6,000 wildcard on the same property, and spouses who co-own a home as tenants by the entirety may have separate, often stronger protection against a creditor of only one spouse.

Wages: how much of your paycheck is protected

Wage garnishment in Maryland is governed by Commercial Law § 15-601.1, and the rule is not the same statewide. In most of Maryland, a creditor may garnish only the amount by which your disposable weekly wages exceed the greater of (1) 75% of your disposable wages or (2) $145 per week. In four counties - Caroline, Kent, Queen Anne's, and Worcester - the law instead tracks the federal formula: the lesser of 25% of disposable earnings or the amount by which disposable earnings exceed 30 times the federal minimum hourly wage.

The federal baseline, set by the Consumer Credit Protection Act (15 U.S.C. § 1673), caps ordinary wage garnishment at 25% of disposable earnings. Maryland's $145-per-week floor can leave more in your pocket than the federal rule at lower income levels, which is why the comparison matters. Different limits apply to special debts such as child support, taxes, and student loans, which can reach more of your wages.

Retirement accounts

Money held in qualified retirement plans is broadly protected in Maryland. CJP § 11-504(h) exempts retirement benefits and contributions to qualified plans - including ERISA-qualified pensions, 401(k)s, and IRAs - from the claims of most creditors, to the extent the plan is tax-qualified. Federal law reinforces this: ERISA generally shields employer plans, and federal bankruptcy law protects IRAs and Roth IRAs up to an inflation-adjusted cap. Once retirement funds are withdrawn and sitting in an ordinary checking account, the exemption can be harder to assert, so keep retirement money in the retirement account.

Public benefits: Social Security, unemployment, and more

Several income streams are off-limits to ordinary judgment creditors no matter what state you live in. Social Security and SSI are protected by federal law (42 U.S.C. § 407), and Veterans' benefits, federal civil-service and railroad retirement, and similar federal payments have their own protections. Under Maryland law, unemployment insurance benefits and workers' compensation are also exempt from garnishment.

A critical protection applies to bank accounts: under federal rule 31 CFR Part 212, when a bank receives a garnishment order it must automatically review the account and protect the last two months of directly deposited federal benefits (such as Social Security) without requiring you to do anything. Amounts above that, or benefits that were not directly deposited, may still require you to file a claim, so respond promptly to any levy notice.

How to claim your exemptions after a judgment or bank levy

Exemptions in Maryland are not automatic in most cases - you usually have to claim them, and there is a deadline. The process generally works like this:

• Watch for the writ. After a creditor obtains a judgment, it can request a Writ of Garnishment against your wages or your bank account, or a levy on personal property. You and the garnishee (your employer or bank) receive notice.
• File a motion to claim exemptions quickly. Under the Maryland Rules governing garnishment (Rules 3-645 and 3-645.1 in District Court, and the 2-600 series in Circuit Court), you file a motion asserting your exemptions. To preserve the $6,000 wildcard you must elect it within 30 days of the attachment or levy, so do not wait.
• Use the right court forms. Maryland District Court provides forms such as the Motion to Release Property and a motion claiming exemption from a wage or property garnishment. List each exemption and the statute it rests on (for example, CJP § 11-504(b)(5)).
• Attend any hearing. The creditor can dispute your claim, and the court will decide what is released. Bring proof - bank statements showing Social Security deposits, pay records, or vehicle value.

If exempt funds were already frozen in your bank account, you can ask the court to release them. If the money was Social Security or another federal benefit, point the court and the bank to the federal protections above.

Where to verify and get help

Because dollar amounts and procedures change, confirm the current rules before you act. The authoritative sources are the Maryland Code (Courts and Judicial Proceedings § 11-504 for exemptions and Commercial Law § 15-601.1 for wages) and the Maryland Courts self-help resources, which publish the garnishment forms. For debt-collection abuses, garnishment disputes, and general consumer questions, contact the Maryland Office of the Attorney General, Consumer Protection Division, which handles consumer complaints and publishes guidance for Maryland residents.

Federal consumer-protection laws also apply on top of Maryland law: the Fair Debt Collection Practices Act (FDCPA) limits how third-party debt collectors may contact and treat you, and the Fair Credit Reporting Act (FCRA) governs how a judgment or collection account appears on your credit report. When in doubt about a specific levy or a large amount of equity, consult a Maryland-licensed attorney, because exemption planning and tenancy-by-the-entirety issues can be complex.

Official Maryland Sources

This page is based on Maryland law. Limits and deadlines change — verify the current details directly with the official Maryland sources below. This is general legal information, not legal advice.

• Office of the Attorney General of Maryland, Consumer Protection Division — official Maryland agency.
• File a Consumer/Business Complaint - Maryland Attorney General Consumer Protection Division
• Maryland Commercial Law Code, Title 13 Consumer Protection Act, Section 13-301 (Unfair, Abusive, or Deceptive Trade Practices)

Federal law also applies. Federal laws like the Fair Debt Collection Practices Act and Fair Credit Reporting Act protect you nationwide, on top of Maryland’s own rules.