Texas Debt Collection Laws

Garnishment limits, exemptions, and consumer protections specific to Texas

Texas (TX) - At a Glance

State Consumer Protection LawTexas Debt Collection Act (TDCA)
SourceTex. Fin. Code ยง 392.001 et seq.
Covers Original Creditors?YES - covers original creditors too
Max Wage Garnishment0% of disposable earnings (federal minimum; may be lower)
Bank Levy ExemptionCurrent wages fully exempt
Homestead ExemptionUnlimited (primary residence)

Key Protections in Texas

  • TDCA covers ORIGINAL creditors (beyond FDCPA)
  • Texas BANS all wage garnishment for consumer debts
  • UNLIMITED homestead exemption - home is fully protected
  • Current wages 100% exempt from levy
  • Strong debtor protections overall

Wage Garnishment in Texas

After a court judgment, creditors in Texas can garnish up to 0% of your disposable earnings (earnings after legally required deductions). This is the federal cap - Texas follows federal law on this limit.

Exempt from garnishment: Federal benefits (Social Security, SSI, VA benefits) cannot be garnished by private creditors regardless of state law.

Note: Some or all wages may be exempt from garnishment in Texas. Consult a local attorney.

File a Complaint in Texas

If a debt collector violates the FDCPA or Texas Debt Collection Act (TDCA):