Debt Collection Laws in New Hampshire

If you're dealing with debt collection in New Hampshire, here's what actually protects you: a cap on how much of your paycheck can be garnished, a base amount of home equity and bank funds creditors can't touch, and a deadline after which a debt lawsuit generally can't succeed. Current as ofJuly 2026 — sourcing for each section is linked below.

How much of my paycheck can be garnished in New Hampshire?

New Hampshire doesn't use a percentage-of-paycheck garnishment like most states — under its 'trustee process,' a creditor without a judgment generally can't reach wages you've already earned but haven't been paid yet at all, and even with a judgment, the first 50 times the minimum hourly wage per week ($362.50) is fully protected, which is more generous than the federal 30x-minimum-wage floor of $217.50/week that most other states default to.

The mechanics are unusual: RSA 512:21, I exempts all wages for work performed after the writ is served on the employer (the 'trustee'), so a single trustee writ only reaches money already earned and payable at the moment of service — it doesn't create the kind of ongoing garnishment order used in most states. RSA 512:21, II then exempts pre-writ wages entirely unless the creditor already holds a judgment; once there is a judgment, the exemption narrows to 50 times the federal minimum hourly wage per week, still a higher dollar floor than the standard federal formula.

For an action under the small-loan statute, RSA 512:21, IX exempts $50 of weekly wages; it does not limit the creditor to taking only $50. RSA 512:21, XI separately protects a qualifying payroll account. In practice, the trustee-process structure makes routine wage collection different from an ongoing garnishment order used in many states.

• N.H. Rev. Stat. Ann. § 512:21 (List of Exemptions from Trustee Process)
• N.H. Rev. Stat. Ann. § 512:9-b (Bank Accounts)

Can a creditor take money from my bank account in New Hampshire?

New Hampshire has no exemption specifically labeled for bank accounts — cash and deposits are typically protected, if at all, through a general 'wildcard' exemption of $1,000, plus up to $7,000 of any unused amount from the statute's other listed exemption categories, for a maximum of $8,000.

RSA 511:2 lists a long menu of specific exempt items — household furniture up to $3,500, tools of occupation up to $5,000, one automobile up to $10,000, and similar named categories — but conspicuously does not name bank deposits or cash on hand as their own line item. The catch-all in the statute's general-property paragraph is what does the real work for money in an account: $1,000 outright, topped up by whatever hasn't been used from the other specific-item allowances, capped at $7,000 of unused amounts. Qualified retirement accounts (401(k)s, IRAs, Keoghs, and similar plans) are exempt separately under a different paragraph and without that dollar cap, so retirement savings held at a bank aren't competing for the same wildcard pool.

Because there's no bank-specific carve-out, how much of a checking or savings balance actually survives a creditor's trustee-process writ against the bank depends heavily on what other exemptions have already been claimed or left unused — it isn't a single clean number the way it is in states with a dedicated cash exemption.

• N.H. Rev. Stat. Ann. § 511:2 (Exemptions)

Is my home protected from creditors in New Hampshire?

New Hampshire protects $400,000 of equity in a homestead for an individual owner, or up to $550,000 combined for joint owners — a figure that just jumped substantially higher effective January 1, 2026, under a 2025 amendment.

RSA 480:1 was amended to raise the exemption to $400,000 / $550,000 effective January 1, 2026. The enacted section does not limit the new amount only to debts arising after that date. It covers qualifying owned-and-occupied dwellings, including manufactured homes, condominiums, and co-ops, and protects qualifying sale proceeds for up to 6 months. For debt arising from a catastrophic or terminal injury or illness, the statute can protect the home's full value.

The homestead right isn't absolute — RSA 480:4 carves out exceptions for property taxes, mortgages actually secured against the home, mechanics' liens for construction or repair work on the home, homeowner or condo association assessment liens, forfeited bail or domestic-support-obligation liens, and debts that existed before the homestead was purchased. So a mortgage lender or the town tax collector can still reach the home even though an ordinary credit-card judgment creditor generally cannot get past the $400,000/$550,000 shield.

• N.H. Rev. Stat. Ann. § 480:1 (Amount)
• N.H. Rev. Stat. Ann. § 480:4 (Exceptions)

How long can a debt collector sue me in New Hampshire?

New Hampshire gives a collector just 3 years to sue over a credit card balance, a signed loan agreement, or an open account — noticeably shorter than the 6-year window many states use, and unlike states that split written contracts from open accounts, New Hampshire applies the same short window to nearly all ordinary consumer-debt lawsuits.

RSA 508:4 is New Hampshire's general limitation period for 'personal actions' and covers contract claims broadly, including both signed written agreements and running/open accounts — the state doesn't carve out a longer period specifically for written contracts the way some states do. A much longer 20-year period exists under RSA 508:5, but only for judgments, recognizances, and contracts formally executed 'under seal,' which essentially never applies to routine consumer credit agreements.

A qualifying new promise, acknowledgment, or payment may affect the limitations defense under New Hampshire law, but RSA 508:4 does not create an automatic payment-reset rule for every debt.

• N.H. Rev. Stat. Ann. § 508:4 (Personal Actions)
• N.H. Rev. Stat. Ann. § 508:5 (Specialties)

Does New Hampshire have its own debt collection law beyond the federal FDCPA?

New Hampshire does have its own state-law debt collection statute, and it's broader than the federal FDCPA in one important way: RSA 358-C's prohibitions can reach original creditors collecting their own debts, not just third-party collection agencies.

RSA 358-C:1 covers people enforcing obligations from a defined consumer credit transaction, including some original creditors; it is not a rule for every kind of debt. RSA 358-C:3 bans conduct including harassing calls, workplace contact after notice, false names, misrepresenting a debt, and threats the collector does not intend to carry out.

The remedies mirror federal-style statutory damages: RSA 358-C:4 lets a consumer recover $200 plus costs and reasonable attorney's fees per violation, or actual damages if those are higher, and a violation can also be raised as a counterclaim or defense in a collection lawsuit itself, which is useful since it doesn't require filing a separate case. Collectors get a narrow safe harbor for genuine billing errors corrected within 15 days, or other good-faith mistakes despite reasonable procedures. The chapter doesn't impose a separate state licensing regime for collection agencies — 358-C is a conduct statute enforced through private lawsuits and New Hampshire's general unfair-trade-practices law, not a registration or bonding requirement.

• N.H. Rev. Stat. Ann. § 358-C:1 (Definitions)
• N.H. Rev. Stat. Ann. § 358-C:4 (Remedies)

Where can I find free or low-cost legal help in New Hampshire?

If you're dealing with a debt lawsuit, garnishment, or collector dispute in New Hampshire, a good starting point is the state bar's lawyer referral service or one of the legal aid organizations below — both can point you to self-help court resources even if you don't qualify for free representation.

• New Hampshire Bar Association — Lawyer Referral Service
• 603 Legal Aid — Debt Collection Help