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New Hampshire Debt Collection Laws: Time Limits, Garnishment and Your Rights

New Hampshire debt rules: statute of limitations, wage garnishment limits, protected bank and home exemptions, judgments, collector rules and how to answer a debt lawsuit.

Quick answers for New Hampshire

Time limit to sue on a written contract
3 years for personal actions, including suits on written or oral contracts. Contracts under seal have 20 years. RSA 508:4, I; RSA 508:5
Wage garnishment limit
Stricter than federal law. Wages earned before a writ is served on the employer are generally exempt from trustee process, except for debts on a New Hampshire court judgment; RSA 512:21, I-II
Money protected in a bank account
No separate bank account exemption. Money can be protected under the general exemption for any property: $1,000 plus up to $7,000 of unused amounts from certain other exemptions (furniture, provisions, books, tools, automobile, jewelry). RSA 511:2, XVIII; RSA 512:21, XI
Answering a debt lawsuit
In small claims, respond in writing within 30 days from the date the notice was mailed, saying you want to be heard; otherwise the court enters a default judgment. RSA 503:6, I-II

Last verified: 2026-10-26

Time limits

Time limit to sue on a written contract3 years for personal actions, including suits on written or oral contracts. Contracts under seal have 20 years.
RSA 508:5: https://gc.nh.gov/rsa/html/LII/508/508-5.htm
Time limit for credit cards and open accounts3 years, the same general period for personal actions.
Source: RSA 508:4, I
How long a judgment lasts20 years. An action of debt on a judgment may be brought within 20 years.
Source: RSA 508:5

If you are sued

Answering a debt lawsuitIn small claims, respond in writing within 30 days from the date the notice was mailed, saying you want to be heard; otherwise the court enters a default judgment.

Garnishment and what creditors can't take

Wage garnishment limitStricter than federal law. Wages earned before a writ is served on the employer are generally exempt from trustee process, except for debts on a New Hampshire court judgment; in that case, wages equal to 50 times the federal minimum hourly wage for each week are exempt. Wages for work done after the writ is served are exempt, so a new writ is needed for each pay period.
Money protected in a bank accountNo separate bank account exemption. Money can be protected under the general exemption for any property: $1,000 plus up to $7,000 of unused amounts from certain other exemptions (furniture, provisions, books, tools, automobile, jewelry). Money in an account designated as a payroll account is exempt from trustee process.
RSA 511:2 was amended by 2026 ch. 215, effective Aug. 31, 2026; the current text was read.
Homestead exemption$400,000 in a homestead used as the primary residence for the previous 12 months; up to $550,000 total when claimed by more than one person (such as a married couple). It includes manufactured housing, cooperatives and condominiums used as a home.
Recently changed: raised to $400,000 by 2025 ch. 282, effective January 1, 2026 (the prior amount, set in 2016, was not re-verified here).
Source: RSA 480:1
Vehicle exemptionOne automobile up to $10,000 in value.

Debt collectors and interest

State debt collection lawYes. New Hampshire's unfair debt collection practices law applies to anyone who collects consumer debts, including original creditors collecting on consumer credit transactions, collection agencies and debt buyers. It prohibits listed abusive, deceptive and unfair practices.
Definitions: https://gc.nh.gov/rsa/html/XXXI/358-C/358-C-1.htm
Interest rate limitsJudgment interest (including prejudgment interest) is simple interest at the 26-week Treasury bill rate from the last auction before the end of September plus 2 percentage points, set by the state treasurer each year for the following calendar year. The default rate for business transactions is 10% unless otherwise agreed in writing; that default does not apply to consumer credit transactions.
Source: RSA 336:1

Debt & Collections FAQ

What is the statute of limitations on debt in New Hampshire?
3 years for personal actions, including suits on written or oral contracts. Contracts under seal have 20 years.
How long can a creditor sue on a credit card debt in New Hampshire?
3 years, the same general period for personal actions.
How long does a court judgment last in New Hampshire?
20 years. An action of debt on a judgment may be brought within 20 years.
How much of my wages can be garnished in New Hampshire?
Stricter than federal law. Wages earned before a writ is served on the employer are generally exempt from trustee process, except for debts on a New Hampshire court judgment; in that case, wages equal to 50 times the federal minimum hourly wage for each week are exempt. Wages for work done after the writ is served are exempt, so a new writ is needed for each pay period.
How much money in a bank account is protected from creditors in New Hampshire?
No separate bank account exemption. Money can be protected under the general exemption for any property: $1,000 plus up to $7,000 of unused amounts from certain other exemptions (furniture, provisions, books, tools, automobile, jewelry). Money in an account designated as a payroll account is exempt from trustee process.
What is the homestead exemption in New Hampshire?
$400,000 in a homestead used as the primary residence for the previous 12 months; up to $550,000 total when claimed by more than one person (such as a married couple). It includes manufactured housing, cooperatives and condominiums used as a home.
Can a creditor take my car in New Hampshire?
One automobile up to $10,000 in value.
What debt collection practices are illegal in New Hampshire?
Yes. New Hampshire's unfair debt collection practices law applies to anyone who collects consumer debts, including original creditors collecting on consumer credit transactions, collection agencies and debt buyers. It prohibits listed abusive, deceptive and unfair practices.
What is the maximum legal interest rate in New Hampshire?
Judgment interest (including prejudgment interest) is simple interest at the 26-week Treasury bill rate from the last auction before the end of September plus 2 percentage points, set by the state treasurer each year for the following calendar year. The default rate for business transactions is 10% unless otherwise agreed in writing; that default does not apply to consumer credit transactions.
How do I respond to a debt collection lawsuit in New Hampshire?
In small claims, respond in writing within 30 days from the date the notice was mailed, saying you want to be heard; otherwise the court enters a default judgment.

Debt & Collections in other states

More New Hampshire law

General legal information, not legal advice. Laws change and local rules can differ; check the linked official source or talk to a lawyer about your situation.