§ 28-9-4-3 — Garnishment fee; credit against unpaid amount of judgment; deposit funds exempt from garnishment

Indiana § 28-9-4-3

• Jurisdiction: Indiana
• Art. 9: DEPOSITORY FINANCIAL INSTITUTIONS
• Ch. 4: Procedure Upon Receipt of Notice

Text

(a) This section applies to a depository financial
institution that is required to place a hold on a deposit account under
section 2(a) of this chapter.
(b) Immediately prior to the placing of a hold on a deposit account
under section 2(a) of this chapter, the depository financial institution
is entitled to receive and deduct from the affected deposit account a
garnishment fee equal to the lesser of:
(1) twenty dollars ($20); or
(2) the amount of funds then in the deposit account.
However, if the court determines that the funds from which the
garnishment fee is deducted are exempt from garnishment, the
depository financial institution shall recredit the deposit account
affected with the amount of the garnishment fee previously deducted.
(c) In answering interrogatories served or caused to be served by the
adverse claimant regarding the amount of funds in a deposit account,
the depository financial institution shall indicate the balance in the
deposit account immediately prior to the deduction of the garnishment
fee specified in subsection (b).
(d) Upon receipt from the depository financial institution of answers
to interrogatories indicating a balance in a deposit account in which the
judgment defendant has an interest, the adverse claimant shall credit or
cause to be credited against the unpaid amount of the judgment
one-half (1/2) of the garnishment fee calculated in accordance with
subsection (b). However, if the court determines that the funds from
which the garnishment fee is deducted are exempt from garnishment,
that credit against the unpaid amount of the judgment shall be reversed.
(e) For the purposes of subsections (b) and (d), if the court
determines that a portion of the funds in a deposit account is exempt
from garnishment, the garnishment fee specified in subsection (b) shall
be considered to have been deducted first from those funds in the
deposit account that are not exempt from garnishment.
(f) Subject only to the provisions of subsection (b) with respect to
adjustment of a deposit account based upon an exemption, once the
garnishment fee specified in that subsection is deducted, the deducted
amount shall not be subject to any claim by the adverse claimant or a
depositor.

Legislative History

As added by P.L.258-1989, SEC.2. Amended by P.L.198-1991, SEC.2.