As a resident of Missouri, if you owe a debt to a creditor, the creditor may choose to pursue the legal options available to her to secure the money you owe. If the creditor obtains a judgment against you, she may then attempt to garnish your bank account or your income. You may, however, have legal objections to the garnishment if you qualify for a state or federal exemption.
Judgment Procedures
Before a creditor can attempt to garnish your bank account or your income, the creditor must secure a judgment against you from a court of law. In order to secure a judgment, the creditor files a lawsuit against you. You have a legal right to be notified of the lawsuit and to defend the lawsuit. If you fail to defend the lawsuit, or if you attempt to defend it but are unsuccessful, then the court will enter a judgment against you for the amount it determines you legally owe the creditor.
Garnishment
If a creditor has successfully obtained a judgment against you in Missouri, then he may proceed to enforce the judgment by all legally available methods, including garnishment. A court must approve an order for garnishment. A creditor may request that either your bank account or your income, or both, be garnished. If the court approves the garnishment, an order will be sent to your financial institution or income source ordering it to withhold funds and forward them to the court to be used toward satisfaction of the judgment.
Exemptions
U.S. federal laws provide a minimum level of protection for debtors who are facing a wage or bank garnishment. State laws often provide more protection for a debtor's income than the federal laws, as is the case in Missouri. It is important to note, however, that many federal benefits, such as Social Security, veteran's benefits and railroad retirement benefits are exempt from almost all garnishment proceedings. Missouri exempts income over 25 percent of the net income or over 10 percent if the debtor is considered the head of household. Up to $3,000 in a motor vehicle as well as an equal amount in household furnishings are exempt, along with up to $15,000 of equity in a home are also exempt. A "wildcard" exemption is allowed for up to $600 for any other property.
How to Object
Individual court procedures will vary when a garnishment is ordered. Some courts will include specific instructions on how to object, or claim an exemption. In most cases, you will need to file a form with the court claiming the exemption. The form may be provided when you are served with the order for garnishment, or you may need to contact the court. If the garnishment is for a bank account, the court may order a hearing once the account has been frozen to determine whether the funds held in the account are legally subject to garnishment. You may present evidence with regard to the source of the funds, or your right to exemptions, at the hearing.
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