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North Carolina is one of four statea that prohibit wage garnishment except in speciall circumstances like unpaid taxes orchild Pennsylvania, South Carolina and Texas are the others; Florida also restrictsd the practice, according to the AP. The AP gathererd bankruptcy records starting in and found that despite similar economicv conditions inneighboring states, the five that limit wage seizurezs had markedly lower bankruptcy For example, North Carolina’s bankrputcy rate is only abou t one-third the the rate found in Tennessee, the AP The nationwide bankruptcy rate is 42 percent higherr than the rate in those five according to the AP The mere threat of a wage seizurw is enough to cause some peoplse to seek bankruptcy-court protection, attorneyd told the AP.
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