Poverty Penalties and Poverty Traps

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State Statute Description/Statute Name Statutory language Type of poverty penalty or poverty trap Level of offense Mandatory
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North Carolina N.C. Gen. Stat. Ann. § 7A-321(b)(1) Collection of offender fines and fees assessed by the court; collection assistance fee

(b) In attempting to collect the fines, fees, costs, and restitution owed by offenders not sentenced to supervised probation or active time, the Administrative Office of the Courts may do

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the following:

(1) Assess a collection assistance fee if an amount due remains unpaid for 30 days after the time period allotted by the court. The amount of the collection assistance fee shall not exceed the average cost of collecting the debt or twenty percent (20%) of the amount past due, whichever is less.

(2) Enter into contracts with a collection agency, agencies, or municipal or county government agencies to collect unpaid amounts owed. The Administrative Office of the Courts may provide by such contract for the collection assistance fee to be retained by the agency or agencies that collect the amounts owed.

(3) Intercept tax refund checks under Chapter 105A of the General Statutes, the Setoff Debt Collection Act.

Collection fee/interest, Wage/bank account garnishment All Yes
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North Carolina N.C. Gen. Stat. Ann. § 7A-304(a)(6) Costs in criminal actions

For support of the General Court of Justice, the sum of two hundred dollars ($200.00) is payable by a defendant who fails to appear to answer the charge as scheduled,

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unless within 20 days after the scheduled appearance, the person either appears in court to answer the charge or disposes of the charge pursuant to G.S. 7A-146, and the sum of fifty dollars ($50.00) is payable by a defendant who fails to pay a fine, penalty, or costs within 40 days of the date specified in the court's judgment. Upon a showing to the court that the defendant failed to appear because of an error or omission of a judicial official, a prosecutor, or a law-enforcement officer, the court shall waive the fee for failure to appear.

Collection fee/interest All Yes
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North Carolina N.C. Gen. Stat. Ann. § 15A-1340.38(c) Enforcement of certain orders for restitution

(c) If the defendant is ordered to pay restitution under G.S. 15A-1340.34(b) as a condition of probation, a judgment docketed under this section may be collected in the same manner as a

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civil judgment. However, the docketed judgment for restitution may not be executed upon the property of the defendant until the date of notification to the clerk of superior court in the county of the original conviction that the judge presiding at the probation termination or revocation hearing has made a finding that restitution in a sum certain remains due and payable, that the defendant's probation has been terminated or revoked, and that the remaining balance of restitution owing may be collected by execution on the judgment. The clerk shall then enter upon the judgment docket the amount that remains due and payable on the judgment, together with amounts equal to the standard fees for docketing, copying, certifying, and mailing, as appropriate, and shall collect any other fees or charges incurred as in the enforcement of other civil judgments, including accrued interest. However, no interest shall accrue on the judgment until the entry of an order terminating or revoking probation and finding the amount remaining due and payable, at which time interest shall begin to accrue at the legal rate pursuant to G.S. 24-5. The interest shall be applicable to the amount determined at the termination or revocation hearing to be then due and payable. 

Collection fee/interest, Condition or extension of supervision All Yes
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Tennessee Tenn. Code Ann. § 40-24-105(d)(2) Collection; fines, costs and litigation taxes; license revocation
On or after January 1, 2015, if an agent is used, the agent's collection fee shall be added to the total amount owed. The agent's collection fee shall not exceed
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forty percent (40%) of any amounts actually collected. When moneys are paid into court, the allocation formula outlined in subsection (a) shall be followed, except up to forty percent (40%) may be withheld for the collection agent, with the remainder being allocated according to the formula.
Collection fee/interest All Yes
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Tennessee Tenn. Code Ann. § 40-24-105(d)(1) Collection; fines, costs and litigation taxes; license revocation
(d)(1) Any fine, costs, or litigation taxes remaining in default after the entry of the order assessing the fine, costs, or litigation taxes may be collected by the district attorney
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general or the criminal or general sessions court clerk in the manner authorized by this section and otherwise by the trial court by contempt upon a finding by the court that the defendant has the present ability to pay the fine and willfully refuses to pay. After a fine, costs, or litigation taxes have been in default for at least six (6) months, the district attorney general or criminal or general sessions court clerk may retain an agent to collect, or institute proceedings to collect, or establish an in-house collection procedure to collect, fines, costs and litigation taxes. If an agent is used, the district attorney general or the criminal or general sessions court clerk shall request the county purchasing agent to utilize normal competitive bidding procedures applicable to the county to select and retain the agent. If the district attorney general and the criminal or general sessions court clerk cannot agree upon who collects the fines, costs and litigation taxes, the presiding judge of the judicial district or a general sessions judge shall make the decision. The district attorney general or criminal or general sessions court clerk may retain up to fifty percent (50%) of the fines, costs and litigation taxes collected pursuant to this subsection (d) in accordance with any in-house collection procedure or, if an agent is used, for the collection agent. The proceeds from any in-house collection shall be treated as other fees of the office. When moneys are paid into court, the allocation formula outlined in subsection (a) shall be followed, except up to fifty percent (50%) may be withheld for in-house collection or, if an agent is used, for the collection agent, with the remainder being allocated according to the formula.
Collection fee/interest All No
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Tennessee Tenn. Code Ann. § 55-6-108 Fines, penalties and forfeitures; transmittal
(a) All fines, penalties and forfeitures of bonds imposed or collected under chapters 1-6 of this title shall be paid over immediately after receipt thereof to the commissioner, with an
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accompanying statement setting forth the action or proceedings in which these moneys were collected, the name and residence of the defendant, the nature of the offense and fines, penalty, forfeiture or sentence, if any, imposed.(b) The commissioner is empowered, in the name of the state, to take all steps necessary to enforce the collection and prompt return of all fines, penalties and forfeitures of bonds, and the fines, penalties and forfeitures of bonds, when so collected, shall be deposited by the commissioner with the state treasurer and shall become a part of the general funds of the state.
Collection fee/interest All No
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Washington Wash. Rev. Code Ann. § 3.62.040(5) Costs, fines, forfeitures, and penalties from city cases--Disposition--Interest

(5) (a) Except as provided in (b) of this subsection, penalties, fines, fees, and costs may accrue interest at the rate of twelve percent per annum, upon assignment to a collection agency.

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Interest may accrue only while the case is in collection status.

(b) As of June 7, 2018, penalties, fines, bail forfeitures, fees, and costs imposed against a defendant in a criminal proceeding shall not accrue interest.

Collection fee/interest All No
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Washington Wash. Rev. Code Ann. § 10.82.090(1) Interest on judgments--Disposition of nonrestitution interest

Except as provided in subsection (2) of this section, restitution imposed in a judgment shall bear interest from the date of the judgment until payment, at the rate applicable to

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civil judgments. As of June 7, 2018, no interest shall accrue on nonrestitution legal financial obligations. All nonrestitution interest retained by the court shall be split twenty-five percent to the state treasurer for deposit in the state general fund, twenty-five percent to the state treasurer for deposit in the judicial information system account as provided in RCW 2.68.020, twenty-five percent to the county current expense fund, and twenty-five percent to the county current expense fund to fund local courts.

Collection fee/interest All No