By financen | November 22, 2012 - 7:18 pm - Posted in Garnishment, Wage Garnishment

There are some states that won’t allow wage garnishment unless you have a court-ordered judgment for child support or spousal maintenance. However, it will allow a bank garnishment to collect civil money judgments.



What do you understand by Bank account garnishment?

It means that a judgment creditor has legal rights to confiscate your checking account and apply the proceeds towards a legitimate, uncollected judicial judgment. Generally, through a garnishment, a creditor can take away possessions of any type of properties a debtor has. Bank account garnishment is quite successful because your bank is holding your money in the account. The bank has your money, but the plaintiff is legally requiring the bank to reroute the money to pay off the judgment.

When can a bank garnishment happen?

There are certain circumstances on which a judgment creditor can pursue a bank account garnishment. These are mentioned below:

  1. The plaintiff who is seeking a bank garnishment against you must have a valid, final and subsisting judgment from the court. A judge needs to sign the judgment to make it legal. The day when the judge signs the order against you and your creditor will enforce bank garnishment writ as long as all the requirements of the garnishment are satisfied.
  2. If you have filed an approved supersedes bond to stop execution on the judgment, then the creditor cannot get a writ of garnishment to get your bank account.
  3. The creditor has to sign an affidavit attached with the writ of garnishment. In that affidavit, the judgment creditor will take an oath and ensure that you do not possess in the State of Texas adequate property subject to execution to satisfy the judgment.

A judgment creditor does not have to prove whether you have adequate property in the state to satisfy the judgment, but he must mention it.

What can you do about a bank garnishment?

There is no guarantee whether you can beat a judgment or not. But if you are obligated on a judgment, you need to do several things to make sure that your judgment creditor heeds both the letter of the law and the spirit of the law while collecting that judgment.

For example, if you own non-exempt property that may be taken by a writ of execution and the judgment debtor files a writ of garnishment, then the judgment creditor can be accused of filing a wrongful garnishment. The judgment creditor is required to sign an affidavit where he takes an oath mentioning that you do not own sufficient property subject to execution to pay the judgment. If the said statement is found to be untrue, the judgment creditor will be accused of wrongful garnishment even if he had probable cause.

Therefore, it is the duty of the judgment creditor to make a reasonable inquiry and find out if you have any non-exempt property that can be seized by using a writ of execution. If you get such interrogatories, you need to respond to it completely and truthfully under oath. You cannot hide your assets and then make a claim that your judgment creditor wrongfully garnished your bank account.


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By financen | June 11, 2012 - 3:11 pm - Posted in IRS, Wage Garnishment

Its always a nice feeling when you are near to your payday. And furthermore, it can be exciting enough when you have some extra cash left over after paying off your debts. You read the check and it is actually a portion of exactly what it usually is. You figure out that the IRS has put a wage garnishment against your income. To make it even more worse, its costing you more than half of your pay check.IRS

All your good moments suddenly come to an end. The IRS is garnishing your wages and it looks severe and worse. You are in deep shock and don’t know what to do next. Managing your general expenses now seems like a big burden on your shoulder. Your fixed income can be garnished, no matter you are on social security or disability.

When the IRS gets involved, they will put their hands on every source of income that you are receiving. You cannot escape from the eyes of the IRS. The damages of IRS tax levy is always a big one. At this time, everything appears extremely dismal.

Do not give up hope. There is always light at the end of the tunnel. There are ways by which you can remove an IRS wage garnishment. Although there are some stipulations, they are much more advantageous compared to continuous loss on 1/2 of your salary each week. Follow the steps mentioned below to remove a wage garnishment.

If you have received a wage garnishment from the IRS, it is advised that you talk about a pay out with them. You can take the help of a tax specialist skilled in IRS tax levy issues and tax debt settlement. While you are discussing the terms with the IRS, recovery routines are usually put on hold until you find a solution. You are required to meet the terms of the negotiation agreement otherwise you will be in the danger area.Wage-Garnishment

Talk with the IRS and get on a repayment schedule. You shell out a certain amount to the IRS every month. As long as you are making the payments, your IRS wage garnishment is going to be removed. The IRS will decide what the settlement amount is going to be.

Be proactive in order to avoid grievous tax issues before they start. IRS Collections processes like a wage garnishment are inconceivable to annul if you owe the IRS. You must talk with the Instant Tax Solutions to resolve your grave tax problems.

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By financen | June 1, 2012 - 4:08 pm - Posted in Wage Garnishment



Actually, wage levy and wage garnishment are almost the same thing. One who initiates the levy or garnishment will inform your employer about the actions. Your employer will then withhold a portion of your earnings and that money will be used to repay your debts.

Wage levy is usually applied by the government like tax levies, conscription levies etc. And wage garnishment is applied by the regular creditors. They are not a part of the government bodies.

Regardless of what it is called, its effects are the same. The employer is required to honor the court-ordered garnishment and deduct the mentioned amount from your paycheck.

In case of wage garnishment, the creditors is first required to file a case at the court and get the legal rights to garnish your wages. In case of wage levies, the government does not need any permission from the court. They can execute any form of legal actions on their own administrative authority.

Many times, people ignore these court notices of wage levies or wage garnishment in the belief that they are nothing more than threats. The government may be sometimes slow in taking actions due to the cyclical nature of tax collection, but there is no escape from them. They will definitely come after you. They cannot accept the fact that one person getting away without paying taxes while others are complying to the laws.

Many times, collection agencies are hired to collect the debts. If you have received many letters or collection notices threatening legal actions and no actions have been taken till date, you must be thinking that this is nothing to be serious about. If the matter is gone to the court, it costs a lot of money with all the court costs and attorney fees. First, a judgment is issued after the debt is found to be valid, followed by a garnishment enforcement order. Just so that the matter does not end up going to the court, they will try to scare you so that you make payment arrangements with them.

Wage garnishment is a legal action and the only way to eliminate it is through a legally binding debt solution. These are personal bankruptcy, consumer proposal and an orderly payment of debts.

A licensed bankruptcy trustee will help you in filing for bankruptcies and making proposals to the creditors. Orderly Payment of Debts is only available through a government approved non-profit credit counselor.

If you are in the risk of getting garnished or in the danger of an impending wage levy, contact a licensed bankruptcy trustee at the earliest. He will figure out the best solution and guide you towards a credit counselor if your best choice is an Orderly Payment of Debts.

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