An Act To Protect Individual Retirement Accounts from Creditor Collection
Be it enacted by the People of the State of Maine as follows:
Sec. 1. 14 MRSA §4422, sub-§13, ¶F, as enacted by PL 2001, c. 306, §5, is amended to read:
F. A payment or account under an individual retirement account or similar plan or contract on account of illness, disability, death, age or length of service to the sum of $15,000 or to the extent reasonably necessary for the support of the debtor and any dependent of the debtor , whichever is greater.
summary
In the laws regarding exemption from attachment, pension assets are exempted from attachment by creditors to the extent reasonably necessary to the support of a debtor and any dependents; a similar exemption for assets in individual retirement accounts is capped at $15,000. This bill removes the cap on the amount exempted from attachment by creditors for an individual retirement account.