This bill amends section 25-1558 of the Reissue Revised Statutes of Nebraska to introduce new provisions regarding the garnishment of wages, specifically addressing medical debts. The bill establishes that the maximum portion of an individual's disposable earnings subject to garnishment for medical debt, sought by medical debt buyers or creditors, shall not exceed certain limits: ten percent of disposable earnings for that week, the amount exceeding thirty times the federal minimum hourly wage, or twenty percent if the individual is not a head of family, contingent upon specific factual allegations from the judgment creditor.

Additionally, the bill defines several terms related to medical debt, including "health care services," "medical debt," "medical debt buyer," and "medical creditor." It also clarifies that the existing restrictions on garnishment do not apply to court orders for support, bankruptcy orders, or debts due for state or federal taxes. The original section 25-1558 is repealed, and the new definitions and provisions are inserted to harmonize the law with the updated garnishment rules.

Statutes affected:
Introduced: 25-1558