Sometimes, creditors will attempt to pursue the collection of a debt through methods more aggressive than simply calling or writing letters. In some states, a creditor is allowed to garnish a person's wages or seize his bank account. Some debtors may attempt to get out of debt through the use of a debt management program. Use of this program, however, will not guarantee that a person can stop the garnishment.
Debt Collection
When a creditor seeks the collection of a debt, he will often choose to sue the debtor in court, which is his right, so long as he files the suit before the statute of limitations for the collection of debt in his state has not expired. If the creditor wins the case, he may have the legal option of collecting the money owed him by garnishing the person's wages. A garnishment can only be stopped in court.
Wage Garnishment
All wage garnishments must be performed with the express permission of a judge. Extrajudicial garnishments -- garnishments performed outside of the court system -- are illegal. If a person has a garnishment served on his employer, the employer must abide by the garnishment. The only way that the garnishment can be overturned is if the creditor withdraws or a judge orders that the garnishment cannot stand.
Debt Management
Many people choose to attempt to get their debt under control through debt management programs. These range from programs that offer simple counseling on managing debt to companies that offer legal services and negotiate with creditors in an attempt to get the debt burden lowered. A debt management company cannot stop a current garnishment unless it offers legal services that includes the filing of court motions, but it may be able to help the person shift his debt burden to prevent additional garnishments in the future.
Effects
There are two ways that a debt management program could conceivably end or prevent a garnishment. One is by leading negotiations with the creditor and getting him to agree to end the garnishment voluntarily. However, not all debt management companies can do this. The way in which a program could prevent a garnishment is by helping the debtor shift his debt burden so none of his debts are currently delinquent, making them ineligible for garnishment.
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