What money in my bank account is protected from creditors in New York?

1. Federal Floor. Social Security, SSI, SSDI, VA, federal pensions, and OPM annuities are protected under 42 U.S.C. § 407 and 38 U.S.C. § 5301. The 31 C.F.R. Part 212 lookback automatically shields two months of direct-deposited federal benefits at the bank level.

2. State Wild-Card / Cash Exemption. Under New York's Exempt Income Protection Act, CPLR § 5222(h) automatically protects $3,600 in any account into which any statutorily exempt funds have been deposited within the prior 45 days. CPLR § 5222(i) protects an additional $3,600 across all of the debtor's other accounts. These amounts (originally $2,500/$1,740) are inflation-adjusted; check current DCWP schedule.

3. Other Source-Specific Exemptions. Public assistance (CPLR § 5205(l)), unemployment (Lab. Law § 595), workers' comp (Workers' Comp Law § 33), Social Security, VA, child support, alimony, and 90% of earnings within 60 days (CPLR § 5205(d)) are exempt.

4. Retirement Accounts. CPLR § 5205(c) fully protects IRAs, 401(k)s, 403(b)s, Keogh, Roth IRAs, and ERISA plans regardless of amount.

5. Joint Accounts. Banking Law § 675 creates a presumption of joint tenancy with right of survivorship; a creditor may reach the debtor-spouse's share. New York does not recognize tenancy-by-the-entireties in personalty.

6. Claim of Exemption Process. Bank must serve exemption-notice and claim form (CPLR § 5222-a) with debtor's copy of restraint; debtor returns claim form within 20 days; creditor objects within 8 days or restraint terminates.

7. Burden of Proof. Debtor identifies exempt source; for the $3,600/$3,600 automatic floors, no tracing required.

8. Penalty for Wrongful Garnishment. CPLR § 5222-a(g) imposes costs and damages on creditor that fails to release exempt funds.

9. Bankruptcy Interplay. New York debtors may elect state or federal exemptions; Chapter 7 trustee reaches non-exempt cash.

This is legal information, not legal advice.