When you refuse to pay a debt and you do not hear from the debt collector for a while, that does not necessarily mean that the debt is gone. At some point in the future, the creditor could try to collect the debt through a wage garnishment. As long as the creditor goes through the proper legal channels, this is allowed.
Statute of Limitations
Depending on how old the debt is, the creditor may not have the legal right to try to collect it from you. Every state has different laws when it comes to how long the statute of limitations is on debt. Some states have a statute of limitations that last for two years while others have a statute of limitations that lasts for 15 years. To find out if you are still at risk of having a debt collected through garnishment, you need to check your state laws.
Wage Garnishment
If you owe a debt to a creditor and it falls into the rules associated with the statute of limitations for your state, the creditor can try to use a garnishment to collect. With a wage garnishment, the creditor can legally take part of the money that you earn from your paycheck before it goes to you. The creditor can only take a certain percentage of your check and this percentage also varies by state.
Process of Garnishment
When you owe a creditor a debt, the creditor cannot simply choose to start garnishing your paycheck at will. The creditor has to go through the proper channels before the garnishment can begin. The creditor has to file a lawsuit against you for not paying the debt. Then the creditor has to win the lawsuit and get a judgment against you. Once the creditor has a judgment, it can get a writ of execution and enforce a wage garnishment. At that point, the creditor can take part of your paycheck each time you are paid until the debt is paid off.
Resolving the Problem
Having part of your paycheck taken without your consent can be very frustrating and you may wish to resolve this debt in other ways. Instead of paying back the debt through a wage garnishment, you may wish to work out a payment plan with your creditor. Another option to consider is filing bankruptcy. When you file for bankruptcy, your creditors can no longer try to collect that particular debt and the wage garnishment will stop being processed.
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