What money in my bank account is protected from creditors in Virginia?

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 two-month rule automatically protects direct-deposited federal benefits.

2. State Wild-Card / Cash Exemption. Va. Code § 34-4 allows the householder to set apart real or personal property — including cash in a bank account — up to $5,000 plus $500 per dependent ($10,000 for disabled veterans under § 34-4.1). Crucially, the debtor must file a homestead deed in the clerk's office and serve it before the return date of the garnishment (typically 5 days before return).

3. Other Source-Specific Exemptions. § 63.2-506 public assistance, § 60.2-600 unemployment, § 65.2-531 workers' comp, alimony/child support, 75% of disposable earnings under § 34-29, group life insurance, fraternal benefits, and crime-victim comp exempt.

4. Retirement Accounts. § 34-34 exempts retirement plans (IRA, 401(k), 403(b), ERISA) up to the lesser of $25,000 per year of income or unlimited if held in ERISA-qualified plan.

5. Joint Accounts. Virginia recognizes tenancy by the entireties for personalty (including bank accounts) when held by married couple — exempt from creditors of one spouse alone.

6. Claim of Exemption Process. § 8.01-512.3-512.4: garnishment summons served on bank; debtor must record homestead deed and file written exemption claim before garnishment return date; hearing scheduled.

7. Burden of Proof. Debtor must trace source or rely on homestead deed.

8. Penalty for Wrongful Garnishment. Court may award fees on bad-faith garnishment; § 8.01-227.10 et seq.

9. Bankruptcy Interplay. Virginia opted out of federal exemptions; Chapter 7 reaches non-exempt cash; Chapter 13 retains.

This is legal information, not legal advice.