QUESTION

How do I list garnishment on schedule C?

Asked on Dec 19th, 2011 on Bankruptcy - New York
More details to this question:
I have a wage garnishment that started just prior to my filing chapter 7. Due to us not listing the garnishment as an asset it has continued. At the trustee meeting, he told us we need to list garnishment as an asset and exempt it. The amount is different each pay period. How do I list it in the amendment?
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4 ANSWERS

Money lost by way of garnishment should be listed as an asset in schedule B of the petition and schedule C as an exempt asset. Send a notice to the creditor requesting reimbursement to you and also it will stop the garnishment.
Answered on Dec 21st, 2011 at 2:27 PM

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Business Bankruptcy Attorney serving Raleigh, NC at J.M. Cook, P.A.
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Unless you are the one garnishing someone else's wages, it isn't an asset. As a liability, it should be listed on E or F, depending on the nature of the debt. You would also show it on Schedule J as a deduction from gross income or Schedule I as a expense.
Answered on Dec 21st, 2011 at 9:42 AM

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Glen Edward Ashman
You have already royally screwed up by filing pro se. Get a lawyer. You are so far over your head that the best I can say is that you need to fix far more than schedule C. You also need to amend schedule B, and I bet also need to amend the statement of affairs and probably file motions and other paperwork in the bankruptcy court and state court. Even if you failed to list it as an asset, if you properly had scheduled the creditor, state court and creditor's counsel, the garnishment would have stopped. Note that the failure to file correct paperwork could also result in dismissal of your case. Again, get a lawyer before it is too late to fix things.
Answered on Dec 20th, 2011 at 7:41 PM

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Real Estate Attorney serving Newburgh, NY at Edward Papa
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And what did your attorney say? Garnishments should stop. If they are continuing then you need to have your attorney put the creditor on notice of the bankruptcy stay. As for recovering and exempting the garnishment, your attorney should be handling that as well.
Answered on Dec 20th, 2011 at 6:20 PM

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