As the economy continues to rebound, there are many positive changes in the economic environment. More jobs means more income for those who have had a hard time finding employment through the recession. More income is usually a very positive change in your life unless your creditors intercept your earnings through a wage garnishment. While unemployed, a creditor may not pursue any collection activity because they know they may be wasting their time if many people are unemployed, but as employment improves and you get a good, long-lasting job, a creditor is more likely to start moving forward with some collections activities. Now that you have a good paying job, what can you do to keep your money earned instead of losing it all to your creditors in a wage garnishment?
A creditor can pursue a wage garnishment after they obtain a judgement against you in court. So, if you have seen and ignored any court summons’ in the past, you may already have a judgement against you. A judgement can be obtained in a lawsuit when you are 90 days behind on a debt. After 90 days of late status, the creditor can sue you in court to get a judgement against you. After the judgement is granted, the creditor can initiate a wage garnishment. The wage garnishment will require the cooperation of your employer and the sheriff’s department in your area. Once they have initiated the wage garnishment, you will see deductions come straight out of your paycheck.
To avoid a wage garnishment, you can eliminate your debts through bankruptcy. Even though you are currently employed, you may still qualify for bankruptcy depending on the number of people in your household, your income level, and the length of time you have been employed. As soon as a bankruptcy is filed in court, the bankruptcy protection provided by the automatic stay in the bankruptcy will cease any progress in a wage garnishment or any other collection activity. The bankruptcy petition needs to be filed in court and notices need to be issued to all parties involved to stop a wage garnishment. A wage garnishment is not the only way a creditor can pursue a debt. You may also be subject to a lien on your property or a bank account levy where they draw money directly from your bank account.
Bankruptcy Law Professionals does not charge any extra fees to stop a wage garnishment. We can also provide you with a free consultation to make sure we can take care of your situation before you pay any money to anyone. You pay our standard price for bankruptcy and we stop your wage garnishment along with filing your bankruptcy petition. Our Riverside bankruptcy attorneys and Orange County bankruptcy attorneys can help you keep your hard earned money for you and your family.
Let Bankruptcy Law Professionals educate you on how Chapter 7 or Chapter 13 bankruptcy may help you stop collections activities as you continue to recover from the recession with a free consultation. You can schedule a free consultation with our attorneys at (855) 257-7671. We look forward to hearing from you.