You’ve worked hard to earn your money. You receive your paycheck, and you notice that a creditor has garnished a part of your earnings. What can you do?
This article sets forth the process of garnishment and how bankruptcy may help:
1. Garnishment: Once a creditor obtains a judgment against a person, that creditor can issue what is a called a Writ of Garnishment. This Writ of Garnishment can then be served on the person’s work and/or financial institution. The creditor can then garnish a net 25% of a person’s paycheck. The creditor can also garnish funds held in a person’s bank account.
2. Bankruptcy: Bankruptcy can immediately stop a garnishment. Once a person files for bankruptcy and there is a garnishment in place, I will send the client’s payroll department notice of the bankruptcy and the garnishment will stop immediately.
3. Recovery: When you file bankruptcy, you can recover garnished funds of $600 or more that were garnished in the 90 days prior to the filing of the bankruptcy. For example, I am able to recover garnished funds for clients, which many times will be over $1000.
If you are being garnished, please contact me immediately to stop the garnishment and potentially recover some of the funds that were garnished.
Attorney at Law
116 Highway 99 N #101
Eugene, OR 97402