QUESTION
Can my debtor legally take every penny that I have in my possession leaving me nothing to live on?
Asked on Apr 17th, 2014 on Bankruptcy - New York
More details to this question:
I understand garnishing is something that happens. I am currently in debt to 5 credit companies and have gone to court to set up payment plans for 4 of the 5 which I have adhered to all of thus far, however while checking my bank account, I discovered that the over $2000 that I had in my savings and checking accounts is now gone. Does it have to be a percentage so as to not make it so I can eat, pay bills, pay rent, or so that I don’t default on my other payment plans?
8 ANSWERS
Bankruptcy Law Attorney serving Austin, TX
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Law Office of Susan G. Taylor
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If you have a judgment creditor with whom you do not have a payment plan (or you defaulted on a payment plan), the judgment creditor can take everything up to the amount of the judgment, with interest.
Answered on May 02nd, 2014 at 3:47 AM
Creditors can only garnish 25% of your net take home pay. However, they can attach all the money in a checking or savings account, assuming they have a judgment against you. If the money in the bank account is your wages, the creditor would only be allowed to keep 25%, or $500. Call the Courthouse and get an objection form to object to this attachment. You can probably go online and print out the form (most court's have a "self help" website). The original objection form is filed with the Court, with a copy being mailed to the judgment creditor who attached your account (or the creditor's attorney).
Answered on Apr 22nd, 2014 at 10:06 AM
Commercial & Bankruptcy Law Attorney serving Powell, OH
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Ronald K. Nims
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Garnishment of wages is a percentage but lien on an asset like a bank account is 100%.
Answered on Apr 21st, 2014 at 2:57 PM
Debt Relief Attorney serving Anaheim, CA
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Marlin Branstetter Attorney at Law
In California a judgment creditor is able to levy your bank account a take all funds that are there to satisfy their judgment. You can file a claim of exemption with the court (You have a limited time to do this) and claim that some or all of the funds are necessary for the support of you or your dependents. Be prepared to document your expenses and justify that they are reasonable.
Answered on Apr 18th, 2014 at 3:00 PM
When asking legal questions of a lawyer, don't use legal terms you don't understand. Your debtor is not taking money from you, it is your creditor that takes money for a debt. You are the debtor. State laws called exemptions can protect a portion of the money in your bank account, but you need to submit the proper paperwork to the court to use the protection provided by the law. If the total amount of debt you have is large, you may want to consider bankruptcy as an option. Another choice would be to contact your creditors and ask if you can make payment arrangements. But if you fail to stand by the arrangements you make and miss even one payment, a creditor with a court judgment can garnish your pay, taking up to 25% of your check, and can also return to take your bank account.
Answered on Apr 18th, 2014 at 2:59 PM
Taxation Attorney serving Charleston, WV
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C. Page Hamrick III
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FOR WEST VIRGINIA ONLY: You should speak with a bankruptcy lawyer about filing a bankruptcy petition and requesting return of those monies. Any bank account in your name is vulnerable to garnishment in West Virginia. There are Federal limits on garnishment of wages but not bank accounts.
Answered on Apr 18th, 2014 at 12:57 PM
Appellate Attorney serving Grosse Pointe Farms, MI
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Musilli Brennan Associates, PLLC
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Sadly the limit is on what they can garnish from your wages only. A judgment creditor is allowed to seize and assets they can find up to your debt. if there are questions, you need counsel.
Answered on Apr 18th, 2014 at 12:54 PM
Why are you not filing for bankruptcy?
Answered on Apr 18th, 2014 at 12:46 PM