Wages

• Creditors may seek to have a debtor's wages garnished. In that scenario, an Oregon court would order a debtor's employer to siphon a portion of the debtor's wages from the debtor's paycheck and give it to the creditor. However, Oregon state law exempts 75 percent of a debtor's income from wage garnishment. That means a creditor can only garnish up to 25 percent of a debtor's income.
  
  

Time Limits

• Oregon state law grants debtors the right of certain time limitations for garnishments. Under Oregon law, a creditor can only garnish a debtor's wages for six years for an open account or written contract. For money judgments, however, a creditor can garnish a debtor's wages for up to 10 years.
  
  

Interest Rate

• Oregon garnishment laws place a maximum interest rate on debts where the creditor uses garnishment as a means to enforce the debt. As of 2010, the maximum interest rate is 9 percent. That means if a creditor chooses garnishment as a method to enforce a debt, then the most interest rate the creditor can charge on the debt is 9 percent.
  
  

Property

• Debtors have the right to keep certain property from creditors. Certain types of property are exempt from garnishment. In other words, Oregon laws set out specific types of property that creditors cannot garnish. Creditors cannot garnish houses, mobile homes or houseboats if the debtor uses them as his residence. Creditors cannot garnish household items, furniture, utensils and electronics up to $3,000 as well as pictures, books and musical instruments up to $600.
  
  

Exempted Income

• Debtors have the right to keep certain income from creditors. Creditors cannot garnish retirement benefits or other entitlements under Oregon law. This limitation includes disability benefits, unemployment and workers compensation as well as medical assistance.
  
  

Warning

• If you are facing a potential garnishment, you should contact a qualified attorney licensed to practice in Oregon to find out what further rights you may have with regard to Oregon garnishment laws, which are subject to change.