How Can I Stop Wage Garnishment?
When you are struggling with debt, things can get out of control fast if you aren’t able to manage your finances. Millions of Americans are living from paycheck to paycheck, and when creditors start to take money out of their hard earned checks, it makes it even more difficult to get a handle on the situation. One way to put an end to wage garnishment is to file for bankruptcy.
Wage garnishment is typically used by creditors that do not have a claim to property. When you don’t have the necessary property to back up your credit card purchases or medical bills, your creditors can file a request with the court to have your wages garnished.
Depending on how much you owe, the court will decide what percentage of your paycheck will be automatically deducted to repay your creditors. The amount that is deducted will vary from case to case, but can sometimes be more than half of your paycheck.
Your pay check can also be garnished to repay debts that your spouse owes. If a court rules that your wages should be garnished to repay your creditors, your employer will be notified and must comply with the court order. However, your employer is not allowed to fire you just because your wages are being garnished.
Using Bankruptcy to Stop Wage Garnishment
When you file for bankruptcy, the automatic stay will protect you from wage garnishment. This is because the automatic stay ceases all forms of collection until your bankruptcy case is finalized.
The automatic stay puts an end to the following types of collection actions:
- Wage garnishment
- Phone calls from creditors
- Letters from creditors
Both Chapter 13 and Chapter 7 bankruptcies can be used to put an end to garnishment of your wages. When it comes to a Chapter 13 bankruptcy, garnishment of your wages will cease for several years as you repay your debts through a payment plan.
Get Help From a Jacksonville Bankruptcy Attorney
If your wages are being garnished by creditors, you should consult with an experienced lawyer to discuss whether filing for bankruptcy is the best option for your situation. Our legal professionals can review the details of your case and will answer any questions you might have. Let our legal team put their skills and resources to work for you today.
Contact our St. Augustine bankruptcy lawyers to set up a free consultation today.