Both federal and state laws protect debtors who are the target of multiple wage garnishments. In addition to limitations on the percentage of a debtor's paycheck that can be garnished each week, you can also seek relief from garnishment by filing for bankruptcy.
Multiple Wage Garnishments
When a creditor wins a lawsuit against you, most states give it the option of garnishing your wages to collect the amount you owe. If you are the target of more than one lawsuit, you can be the target of more than one garnishment order. There is no limit on the number of garnishments that can be filed, though the ability of those creditors to collect the debt may be restricted by law.
Percentage Limitations
Federal law restricts the amount that can be garnished to satisfy most debts to either 25 percent of your weekly paycheck after taxes or the amount your wages are greater than 30 times the federal minimum hourly wage, whichever is less. Some states allow you to keep more of your wages. However, if you owe child support or back taxes, that percentage can rise to 50 percent of your weekly paycheck. These limits apply to the total amount of all garnishments together: Creditors will have to be repaid one at a time if their claims exceed the required limit.
Employment Law
It is a violation of federal and sometimes state law for an employer to fire an employee for a single wage garnishment. Multiple garnishments, on the other hand, can threaten your employment. If you suspect you may be subject to a multiple wage garnishment, it's a good idea to talk to your lawyer about your options.
Avoiding Garnishment
Some creditors are open to working out a payment plan. If they are, you can avoid garnishment and keep your employer out of your financial affairs. Another option is to file for bankruptcy: The "automatic stay" stops garnishments. You may even be able to eliminate the debt during the bankruptcy process.
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