If you can't afford to pay your debts, your creditors will do everything they can to collect it from you in some way. One method that creditors often use to collect the money you owe is a wage garnishment. With this option, the creditor takes money right out of your payroll to pay your debts.
Getting a Court Judgment
Although creditors have the right to garnish your paycheck, they cannot do it without first going through the correct process. When a creditor wants to garnish your paycheck, it must file a civil lawsuit against you for the debt. The creditor will appear in court in front of a judge and verify that the debt is valid. You also have the opportunity to appear in court. Unless you prove that the debt is not yours, the court will issue a judgment against you.
Obtaining a Writ of Execution
Even if a creditor has a judgment, it does not necessarily mean that it can start garnishing your wages. Another step must take place before the garnishment can occur. After getting the judgment, the creditor also has to get a writ of execution. Typically, the court allows you 30 days after the judgment is issued to pay it. After that, the creditor can go back to the court to get a writ of execution.
Setting Up the Wage Garnishment
After the creditor has the writ of execution, the local sheriff gets involved. Once the creditor provides the writ of execution, the sheriff contacts your employer and helps set up the wage garnishment. Once the sheriff and the creditor have contacted your employer, the wage garnishment will begin. At that point, a portion of your paycheck will be deducted every time you are paid and will go directly to the creditor.
Considerations
When a creditor sets up a garnishment on your payroll, it will not take all of your paycheck. According to federal law, creditors can only take a maximum of 25 percent of your paycheck when using a wage garnishment. Some state laws make the maximum garnishment even less than 25 percent. Once the debt is paid off, the creditor will remove the garnishment and you get to start receiving a full paycheck again. In some cases, you may be able to work out a payment plan with the creditor and get the garnishment removed before the debt is paid.
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