Times are tough for most American families and getting behind on debt payments is all too common. If you fall behind on credit card bills, loan payments, or secured debts like a car or mortgage payment, you may face serious consequences. Many creditors seek a wage garnishment, a court order allowing the creditor to take a portion of your paycheck to repay your outstanding debt. Understanding how wage garnishment works is the most effective way to stop creditors from touching your paycheck.
What You Need to Know
There are only two ways to stop a wage garnishment order. The most obvious way would be to eliminate all your debts, especially those that triggered the wage garnishment in the first place. If you are like most people, this isn’t an option you have as it is likely your debts were overwhelming you in the beginning.
The second way to stop wage garnishment is through the automatic stay, a different court order that actually works for you not against you. An automatic stay is issued to your creditors, prohibiting them from taking further collection action against you.
Other Notes About Wage Garnishment
If you were to leave your job or be terminated while under an active garnishment order, the garnishment may not necessarily follow you to the next job. Creditors must gain approval from the court in order to file a new garnishment order with your new employer. However, it is not recommended that you run from a garnishment order by switching employers. If you were to have any funds or owed income from the prior job, the garnishment order could seek to liquidate that as you leave your current position.
A garnishment order could affect your spouse. Many states outline that assets that are legally shared as a married couple, could be fair game for garnishment – even if the debt is in your name! Further, if the debt is a shared debt it is more likely that the garnishment order could affect your spouse.
The key to fighting wage garnishment is to seek the help of an Ohio bankruptcy attorney as soon as you are notified of a delinquent debt or garnishment order.