If I have bank levy on my bank account in October 2012, what should I do?

Is this levy from the IRS? If it's an IRS levy for taxes the levy can only take what is in the account on the particular day that the levy "hits" your account. It will not apply to deposits made after the levy is posted on the account. The IRS can issue another levy later. Also, the bank is not supposed to charge an overdraft charge for the first levy.

A bank levy from the Alabama Department of Revenue or the I.R.S. is a one time levy. It is not a recurring levy, and thus there is nothing that you would need to do in order to remove the bank levy that was executed in 2012. However, the fact that a levy was entered indicates that they are legally able to forcefully collect from you at this point in time. This means that another bank levy, wage garnishment, or other form of collection action could be taken soon. In order to prevent this from happening, you would need to negotiate some sort of resolution of the tax debt. However, I can not advise you as to which method of tax debt resolution is best, as each is dependent on your particular financial situation and total tax debt owed. It would be best to speak with a tax attorney or CPA who does tax debt resolution.

You can. You should contact the creditor or attorney who filed the lien and see what you need to do to get them to remove the lien.