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What is a Wage Garnishment

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Definition:

A wage garnishment is a court order for an employer to withhold a certain amount of your wages as repayment for debt. No one can garnish your wages without first filing a lawsuit against you and then winning the lawsuit. If a lawsuit is filed against you and you don't show up to court, there's a greater likelihood that your wages will be garnished.

There are wage garnishment federal limits that prevent creditors from garnishing more than 60% of your wages in the most extreme case. Four states prohibit wage garnishment for debts from creditors: North Carolina, Pennsylvania, South Carolina, and Texas.

 

Also Known As: wage garnishment

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