It’s no surprise that many people are facing financial ruin as recent unemployment rates have risen like the tides. Debtors can become overwhelmed with bills as debts accumulate and interest rates increase. In certain cases, persistent creditors can seek a court order to have a debtor’s wages garnished. Wage garnishment is not just inconvenient and inconvenient, but it can also be mentally harmful. You do have options if you are in danger of losing a portion of your income. Find out here Loveland Chapter 13 Bankruptcy Attorney
How Are They Able To Do That?
The IRS also uses wage garnishment to collect debts owed to the government. • Court fees • Unpaid taxes are examples of common debts.
• Child care • Defaulted student loans • Some kind of monetary decision
The IRS isn’t the only one who can file for wage garnishment; any creditor who tries to take a portion of your paycheck must first file for and receive a court order. Upon approval, creditors may contact your employer and request that a portion of your payment be set aside. And if you are a salaried employee, your employer cannot deny you. Creditors are constrained in their ability to garnish just 25% of your disposable income; but, if you have other debts, this may be critical.
Keeping Your Money Safe
If your creditors are threatening wage garnishment, you can speak with a bankruptcy attorney about your options for debt relief. The following are some typical methods for preventing wage garnishment:
• Making regular contact with creditors. Sometimes, you will work out a payment schedule with your creditors that will satisfy them.
• If a new payment arrangement isn’t possible, talk to your creditors about paying a temporary settlement.
• Going to court to fight a court-ordered wage garnishment. You’ll need to find a lawyer to defend you.
• Filing for bankruptcy will help you get rid of your dischargeable debts.
In Florida, creditors are prohibited from garnishing your salaries if your earnings account for more than half of your family’s overall revenue. This means that creditors cannot legally garnish your wages if you are a single mother or father in Florida. If you are being harassed by creditors, you can speak with an attorney about your legal options.