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Pennsylvania Debt Collection Laws: Time Limits, Garnishment and Your Rights

Pennsylvania 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 Pennsylvania

Time limit to sue on a written contract
4 years for an action on a contract, obligation or liability founded on a writing. A written instrument under seal has a 20-year limit. 42 Pa.C.S. 5525(a)(8); 5529(b)(1)
Wage garnishment limit
Wages held by an employer are exempt from garnishment for ordinary consumer debts. Wage attachment is allowed only for support, divorce-related orders, board for four weeks or less, state higher-education (PHEAA) student loans, criminal restitution/fines, and final judgments for a… 42 Pa.C.S. 8127(a)
Money protected in a bank account
A general $300 exemption applies to any property, including money in a bank. Separately, a writ served on a bank does not attach (without a court order) the first $10,000 in an account that receives recurring electronic deposits of exempt funds such as Social Security. 42 Pa.C.S. 8123(a); Pa.R.C.P. 3111.1
Answering a debt lawsuit
In the Court of Common Pleas, file a written response within 20 days after a complaint with a Notice to Defend is served on you. Smaller claims filed with a Magisterial District Judge are set for a hearing instead. Pa.R.C.P. 1026(a)

Last verified: 2026-10-26

Time limits

Time limit to sue on a written contract4 years for an action on a contract, obligation or liability founded on a writing. A written instrument under seal has a 20-year limit.
20-year rule: https://www.palegis.us/statutes/consolidated/view-statute?txtType=PDF&ttl=42&div=0&chapter=55&section=29&subsctn=0
Source: 42 Pa.C.S. 5525(a)(8); 5529(b)(1)
Time limit for credit cards and open accounts4 years, the same as written contracts; oral (express) contracts not founded on a writing also have a 4-year limit.
Source: 42 Pa.C.S. 5525(a)(3)
How long a judgment lastsA judgment lien on real estate lasts 5 years; an action to revive the lien must be brought within 5 years. Execution against personal property may be issued up to 20 years after the judgment is entered.
5-year revival period: https://www.palegis.us/statutes/consolidated/view-statute?txtType=PDF&ttl=42&div=0&chapter=55&section=26&subsctn=0
Source: 42 Pa.C.S. 5526(1); 5529(a)

If you are sued

Answering a debt lawsuitIn the Court of Common Pleas, file a written response within 20 days after a complaint with a Notice to Defend is served on you. Smaller claims filed with a Magisterial District Judge are set for a hearing instead.
Source: Pa.R.C.P. 1026(a)

Garnishment and what creditors can't take

Wage garnishment limitWages held by an employer are exempt from garnishment for ordinary consumer debts. Wage attachment is allowed only for support, divorce-related orders, board for four weeks or less, state higher-education (PHEAA) student loans, criminal restitution/fines, and final judgments for a residential landlord (limited to 10% of net wages and not below the federal poverty guideline).
Source: 42 Pa.C.S. 8127(a)
Money protected in a bank accountA general $300 exemption applies to any property, including money in a bank. Separately, a writ served on a bank does not attach (without a court order) the first $10,000 in an account that receives recurring electronic deposits of exempt funds such as Social Security.
Rule 3111.1 text: https://www.pacodeandbulletin.gov/Display/pacode?file=/secure/pacode/data/231/chapter3000/chap3000toc.html
Source: 42 Pa.C.S. 8123(a); Pa.R.C.P. 3111.1
Homestead exemptionPennsylvania's list of exemptions from execution does not include a homestead exemption. The $300 general exemption may be applied to any property, including real estate.
Source: Pa.R.C.P. 3123.1, Official Note (list of Pennsylvania exemptions); 42 Pa.C.S. 8123(a)
Vehicle exemptionPennsylvania's list of exemptions from execution does not include a separate motor vehicle exemption; the $300 general exemption can be applied to a vehicle.
Source: Pa.R.C.P. 3123.1, Official Note; 42 Pa.C.S. 8123(a)
Claiming an exemptionFile a claim for exemption with the sheriff, substantially in the form in Rule 3252(a) (included with the writ of execution), and ask for a prompt hearing. The court must hear the claim within five business days after the sheriff presents it. Judgment against a garnishee (such as a bank) cannot be entered until 20 days after the writ is served, and not while a claim is pending without agreement or leave of court.
Source: Pa.R.C.P. 3123.1

Debt collectors and interest

State debt collection lawYes. The Fair Credit Extension Uniformity Act defines unfair or deceptive debt collection practices for both debt collectors (including any violation of the federal FDCPA) and creditors collecting their own consumer debts. Violations are treated as violations of the Unfair Trade Practices and Consumer Protection Law.
Source: 73 P.S. 2270.1 et seq. (Act 7 of 2000), sections 2-5
Interest rate limitsJudgments bear interest at the 'lawful rate' from the verdict, award or judgment date; the legal rate of interest is 6% per year.
Legal rate: https://www.palegis.us/statutes/unconsolidated/law-information/view-statute?txtType=PDF&SessYr=1974&ActNum=0006.&SessInd=0
Source: 42 Pa.C.S. 8101; 41 P.S. 202 (Act 6 of 1974, sec. 202)

Where to get help in Pennsylvania

Debt & Collections FAQ

What is the statute of limitations on debt in Pennsylvania?
4 years for an action on a contract, obligation or liability founded on a writing. A written instrument under seal has a 20-year limit.
How long can a creditor sue on a credit card debt in Pennsylvania?
4 years, the same as written contracts; oral (express) contracts not founded on a writing also have a 4-year limit.
How long does a court judgment last in Pennsylvania?
A judgment lien on real estate lasts 5 years; an action to revive the lien must be brought within 5 years. Execution against personal property may be issued up to 20 years after the judgment is entered.
How much of my wages can be garnished in Pennsylvania?
Wages held by an employer are exempt from garnishment for ordinary consumer debts. Wage attachment is allowed only for support, divorce-related orders, board for four weeks or less, state higher-education (PHEAA) student loans, criminal restitution/fines, and final judgments for a residential landlord (limited to 10% of net wages and not below the federal poverty guideline).
How much money in a bank account is protected from creditors in Pennsylvania?
A general $300 exemption applies to any property, including money in a bank. Separately, a writ served on a bank does not attach (without a court order) the first $10,000 in an account that receives recurring electronic deposits of exempt funds such as Social Security.
What is the homestead exemption in Pennsylvania?
Pennsylvania's list of exemptions from execution does not include a homestead exemption. The $300 general exemption may be applied to any property, including real estate.
Can a creditor take my car in Pennsylvania?
Pennsylvania's list of exemptions from execution does not include a separate motor vehicle exemption; the $300 general exemption can be applied to a vehicle.
What debt collection practices are illegal in Pennsylvania?
Yes. The Fair Credit Extension Uniformity Act defines unfair or deceptive debt collection practices for both debt collectors (including any violation of the federal FDCPA) and creditors collecting their own consumer debts. Violations are treated as violations of the Unfair Trade Practices and Consumer Protection Law.
What is the maximum legal interest rate in Pennsylvania?
Judgments bear interest at the 'lawful rate' from the verdict, award or judgment date; the legal rate of interest is 6% per year.
How do I respond to a debt collection lawsuit in Pennsylvania?
In the Court of Common Pleas, file a written response within 20 days after a complaint with a Notice to Defend is served on you. Smaller claims filed with a Magisterial District Judge are set for a hearing instead.
How do I stop a garnishment or claim an exemption in Pennsylvania?
File a claim for exemption with the sheriff, substantially in the form in Rule 3252(a) (included with the writ of execution), and ask for a prompt hearing. The court must hear the claim within five business days after the sheriff presents it. Judgment against a garnishee (such as a bank) cannot be entered until 20 days after the writ is served, and not while a claim is pending without agreement or leave of court.

Debt & Collections in other states

More Pennsylvania 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.