New Mexico Debt Collection Laws

Garnishment limits, exemptions, and consumer protections specific to New Mexico

New Mexico (NM) - At a Glance

State Consumer Protection LawNew Mexico Unfair Practices Act
SourceNMSA ยง 57-12-1 et seq.
Covers Original Creditors?No - third-party collectors only
Max Wage Garnishment25% of disposable earnings (federal minimum; may be lower)
Bank Levy Exemption$1,000 in bank
Homestead Exemption$60,000

Key Protections in New Mexico

  • FDCPA applies to third-party collectors
  • Unfair Practices Act covers deceptive collection
  • Homestead exemption: $60,000

Wage Garnishment in New Mexico

After a court judgment, creditors in New Mexico can garnish up to 25% of your disposable earnings (earnings after legally required deductions). This is the federal cap - New Mexico 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.

File a Complaint in New Mexico

If a debt collector violates the FDCPA or New Mexico Unfair Practices Act: