Can A Credit Card Company Garnish My Wages?
Some debt collectors, and even credit card companies, will try to bully you into making a payment by threatening to garnish your wages. Can they actually follow through on that threat? Yes, but not until they sue you, win, and have a judge decide to garnish your wages as the method of payment.
If you are served with legal documents about a lawsuit, it's in your best interests to contact an attorney. Don't ignore the lawsuit; it will not help you. When you don't show up to court, the plaintiff (whoever filed the lawsuit) can have a default judgment entered in his favor. This means you automatically owe whatever the creditor sued you for and the court decides how to get the money from you, e.g. wage garnishment.
If you receive notice from your employer about your wages being garnished, but were never served with lawsuit papers, you should definitely see a lawyer. Chances are, the creditor/debt collector didn't do something right and you can have the judgment overturned.
You can avoid a lawsuit and garnished wages altogether by paying off debts before they become seriously delinquent. Creditors can sue you whether you owe them $500 or $50,000. When a creditor sues you and wins, a judgment is entered on your credit report and stays for seven years from the date of filing. For more infomation about wage garnishment read: How Wage Garnishment Is Used to Collect a Debt
Wage Garnishment FAQs
Comments
I feel that you overlook a debtor getting an attorney. Namely, if papers have been served, how is one going to pay the attorney? Sure, there may be a free consultation. But if one wants the attorney to answer the suit, then the attorney’s fees have to be paid, alongside the fees for filing an Answer.
I know a little something about the matter. I have been sued three times and have three default judgments within a three year period. Attorney consults result in oh, you’re judgment proof. Well, being judgment proof doesn’t prevent a Writ of Execution as a bank levy. They can’t collect the money, since the income is disability. But, sure the bank collects their $100.00 Legal Processing Fee every time a bank levy hits my account.
I have an idea. PAY YOUR BILLS
I have an idea F you maybe some ppl can’t pay bills cause they lost their job you stupid scumbag
That is right, lots of people now can’t pay their bills because they lost their job, have no savings and no income. So what is the answer? Live on the street?
I had great Credit before I ever opened a business account w/ Chase Bank. That is like selling you soul to the devil. We have had several misfortunes and now Chase has raised our APR to 29.99% who can afford that interest rate. Isn’t high interest rates and the top dogs price gouging what got us into this mess. Why don’t we all quit pointing fingers and get back to taking care of each other! I say the lady with the comment about paying bills seems to be loaded so she can pay off our debt. Sorry I just had too!
I think that banks are the reason why everyone is in a mess. Yet they got bailed out from there problems, Why don’t we get to be bailed out. To top it off, the people with goos credit, and people that were paying their bills on time, still got punished, by either having their credit closed, interest rates going up, lowering the credit limit, etc…. F*ck that banks!!! They deserve to get nothing else. What everyone should do is stop paying there credit cards!!!
Lucy shut up bitch!!! u probably live @ home with your parents & don’t have any real bills hoe!
I have a 720 credit score and pay all my bills on time. Never a late payment. My total minimum payment on 3 Chase cards with fixed rates at 4.9-6.9 is $300 per month. Was just informed yesterday that as of August 1 my minimum payment will go from 2% of the balance to 5%. This will raise my minimum payment from $300 per month to $750.Damage Resulting = There is absolutely no way that I can come up with this extra $450 per month. I have no choice but to default and ruin my credit. I follow the agreement why aren’t they?
I had a good credit until last month. I was recently layoff by the bank I used to work for. now my credit is going to get ruin. guess what? I DONT CARE!! I have no money for bills. my kids and house come first. F–K the credit and the creditors.
I agree with some above. I’ve played by the rules, contacted the cc companies to try and work out payments arrangements. Then the cc’s hike up my interest rate, close accounts(that’s probably for the best), increase my minimum payment due, etc. My thoughts: Let’s send our bills to our senators and representatives. They voted to give the banks the bailout money. In return the banks are treating us poorly. The senators and reps. need to answer for this, and the banks too!