Information on Two Creditors Garnishing Wages at the Same Time

Can my paycheck be garnished by two different collection companies at the same time?

Can my paycheck be garnished by two different collection companies at the same time? If so can they both take the normal 25%? Thank you

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Bill's Answer
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Highlights


  • A judgment debtor's wages may be garnished up to 25% of net income.
  • Review your state's garnishment laws to learn your rights.
  • Resolve your debts before a wage garnishment begins.

The amount that your wages can be garnished for the collection of a judgment on an unsecured debt primarily depends on your state’s laws relating to wage garnishment. In most states, a judgment debtor’s wages can be garnished up to a maximum of 25% of his or her net income. In fact, 25% is the maximum garnishment allowed under federal law, so no state allows garnishment of more than 25% of a debtor’s net income. However, some states further limit the amount that can be garnished from their residents. I will explain more about garnishment in just a moment.

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In states such as Texas, North Carolina, South Carolina, and Pennsylvania they do not generally allow wage garnishment for unsecured debts, while Florida does not allow garnishment if a debtor is considered the head of a household. Also, many state courts will reduce the amount of a garnishment if the debtor can demonstrate that the current garnishment amount is causing an undue hardship for the debtor and his family.

Before you assume that your wages will be garnished, I encourage you to review your state’s laws relating to garnishment for the payment of judgments for unsecured debts. To read more about your state’s laws relating to wage garnishment and what other assets are protected by state law, see the Bills.com State Consumer Protection Laws and Exemptions resource.

General Garnishment Rules

Garnishment limits outlined by federal and state laws define the maximum total amount that can be garnished from a debtor’s paycheck at any one time. For example, under federal law, the maximum that a consumer can be garnished for the collection of an unsecured debt judgment is 25% of his after-tax earnings. Generally speaking, if a consumer has more than one judgment creditor attempting to garnish his wages, the creditor who files for garnishment first is paid first; any garnishments received while a garnishment is already in place will sit unpaid until the first garnishment is paid.

Certain types of garnishments, such as those for delinquent taxes or child support, take priority over garnishments for regular judgments, so even if you are already being garnished by a creditor, if the IRS sends a garnishment notice to your employer, the first garnishment would stop the IRS would be paid before the garnishment for the judgment resumed. Also, you should know that the amount that can be garnished to pay these "priority debts" is generally higher than the amount that can be garnished for regular judgments. For example, a garnishment for delinquent child support may be able to take as much as 50% of your earnings, or possibly even more, depending on your state’s laws and the court order requiring the child support payments.

So, in a simple answer to your question, creditors cannot each garnish 25% of your wages; the creditors will either be forced to split the garnishment amount, or they will be required to wait in line to be paid in the order the garnishments were received by your employer. However, you must consider that having multiple garnishments sent to your employer may be grounds for termination of your employment. Under federal law, you cannot be fired for receiving one garnishment, but subsequent garnishments could be cause for your employer to terminate your employment, depending on your state’s laws and your employer’s policies relating to garnishments. If at all possible, I strongly encourage you to resolve these debts before a wage garnishment begins to prevent any potential problems with your employer.

Resolving a Garnishment

If you are struggling to repay unsecured debts, I encourage you to visit the Bills.com Debt Help page to read about various options available to help consumers resolve their outstanding debts. Filing for bankruptcy protection may be one option available to you to stop these wage garnishments; I invite you to visit the Bills.com Bankruptcy page to learn more about bankruptcy. I also encourage you to consult with a qualified attorney in your area to determine if bankruptcy is a viable solution to your financial problems.

I hope this information helps you Find. Learn & Save.

Best,

Bill

Bills.com

227 Comments

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  • 35x35
    Feb, 2012
    Carolyn
    I have been told that IRS levy takes priority over everything but child support. I just received a call from CA Tax board and they said that I should not have stopped their order when I received the IRS levy. Is this true?
    0 Votes

    • 35x35
      Feb, 2012
      Bill
      There are a couple of things in your question that are not clear to me. I can't tell if you are an employer trying to properly comply with competing garnishment orders for an employee. It is also not clear to me if you are saying there was a payment plan in place with the CAFTB or a levy. I also don’t have clear information on the filing dates of the state or federal liens. Given my lack of a clear understanding, I am going to make a few general comments that I hope you find helpful.

      Assuming that you are an employer and stopped a CA FTB lien in order to comply with an IRS tax lien,One issue present is the “priority” of a tax lien between the state and the IRS. CA FTB will argue that they had a lien that was in place prior to the IRS tax lien and therefore the state tax debt should have been paid first and then when complete the IRS tax next. Assuming that the state lien preceded the IRS lien, then the FTB is correct.
      0 Votes

  • 35x35
    Feb, 2012
    Kimberly
    Just had a question....my boyfriend is unfortunately in arrears on his child support. His amount is the exact amount of his federal refund this year. According to the "offset" they are appling the total balance of the child support amount from his federal refund. Question is will he get refunded because his state refund was also taken in "offset"? We have other children we are taking care of. With the offset amount he still should have recieved about $1000 in what was left of the tax refund.
    0 Votes

    • 35x35
      Feb, 2012
      Bill
      Perhaps the safest thing to do is to file the federal return ASAP, so the offest is applied. Then, when filing the state return close to the filing deadline, attach proof that the arrrears are paid off. Speaking to the state tax authorities before you file the return and after the debt is paid may be prudent, too.
      0 Votes

  • 35x35
    Feb, 2012
    Julia
    if you are getting garnished for child support and you have past hospital bills they get a garnishment on can they take both or split it or how does this work.
    0 Votes

    • 35x35
      Feb, 2012
      Bill
      The hospital bill garnishment gets in line behind the child support garnishment. The hospital garnishment can only happen at the same time if the child support garnishment does not exceed the state cap for garnishments from creditors such as the hospital or for credit card debt.
      0 Votes

  • 35x35
    Jan, 2012
    Greg
    Can the same creditor garnish wages from both my employer and also from my bank account at the same time? To make matters worse, I now live in a different state (moved from CO. to CA). Are there federal laws, perhaps interstate commerce laws, that prevent this? thank you, -gd
    0 Votes

    • 35x35
      Jan, 2012
      Bill
      California law does not prohibit a judgment-creditor from using multiple remedies (wage garnishment, levy, or lien) to satisfy a judgment. However, I do not know if Colorado law prohibits such a practice, but I would be surprised if it did.

      The US Constitution's full faith and credit provision gives judgment-creditors with State A judgments the right to domesticate their judgments in State B. I am not aware of any interstate commerce laws that modify this basic right.
      0 Votes

    • 35x35
      Jan, 2012
      Greg
      Thank you for such a quick response. Multiple remedies, who knows what they'll think up next? I also read something about applying for exemptions. Would any apply here in and for what state?
      0 Votes

    • 35x35
      Feb, 2012
      Greg
      To reaffirm, would there be exemptions for garnishments in my situation. do you have links for state exemptions? thanks again.
      0 Votes

    • 35x35
      Feb, 2012
      Bill
      See the Bills.com resource Collection Laws & Exemptions for a list of exemptions state-by-state.

      Every state has exemptions for wage garnishment, but if they apply based on your disposable income is the question. You mentioned you are a California resident. See also California Collection Laws to learn more.
      0 Votes

  • 35x35
    Jan, 2012
    Jazzmine
    I live in California, and I am being waged garnished by the Califonia State Unemployment Agency. However, if I am being waged garnished, can the California State Unemployment Agency garnish my tax refund?
    0 Votes

    • 35x35
      Jan, 2012
      Bill
      I believe that your California tax refund and IRS tax refund are in jeopardy, when you owe a California state agency.
      0 Votes

  • 35x35
    Jan, 2012
    Rob
    Wage garnishment has started (I am in CA), I filled out the claim of exemption paperwork, received an opposition letter from the judgement creditor and now have a claim of exemption hearing with the judge coming up. The creditor's opposition is that my claim is not good because they say I used the credit card for purchases for the "the necesity of life". I can prove that most, if not all of the debt was used for several business expenses (franchise fee, and to pay regular business expenses, etc). Will this reason hold up and prove the creditor is wrong in their opposition? Also, if the judge reduces the 25% own to something manageable, like maybe 3% (for example) does this stop the creditor from taking my car too? In other words, if the garnishment is going on, they consider me paying it back and my car is not at risk?
    0 Votes

  • 35x35
    Jan, 2012
    Jillian
    My husband and I live in Montana. His wages have been being garnished for 25% for the better part of 2011. We just received a notice from another company that they are going to take our tax refund. Can they do this?
    0 Votes

    • 35x35
      Jan, 2012
      Bill
      Your tax refund cannot be garnished by a private company, although they can seek a court judgment against, which can lead to a levy on your bank account. I recommend that you read Bills.com article about debt relief in order to seek an overall solution to your debt problems.
      0 Votes

  • 35x35
    Jan, 2012
    Will
    I LIVE IN PA AND I HAVE A private student loan out of indiana i just learned that it is illegal for the t garnish my wages which tey currently are doinga 25% what steps do i take stop this? will they have to reimburse me the money or what would happen
    0 Votes

    • 35x35
      Jan, 2012
      Bill
      Consult with a Pennsylvania lawyer about your situation. If the garnishment is illegal, a Pennsylvania lawyer will draft a motion to revoke the garnishment.
      0 Votes

  • 35x35
    Jan, 2012
    Shana
    I am currently being garnished for 2 student loans that were in default, taking 25% off my paycheck. If I am being garnished through my paycheck, can they also garnish my tax refund from income taxes?
    0 Votes

    • 35x35
      Jan, 2012
      Bill
      If your loans are federal student loans, your tax refund is most definitely at risk. If the loans are private student loans, then your tax refund is not going to be taken.

      If you were sued by a private student loan lender or a collection agency and a judgment has been entered against you, your bank account is at risk, depending on your state collection laws.
      0 Votes

  • 35x35
    Dec, 2011
    Christine
    Hello, my husband gets garnished for Child Support already and now we have a judgement against us for a medical bill from a year ago. They are both being garnished right now. You mentioned that a creditor cannot garnish more than 25%. I realize that Child Support can be garnished for more, but can they garnish on top of it? Its causing us great hardship.
    0 Votes

    • 35x35
      Jan, 2012
      Bill
      Check to see what are your state's maximum wage garnishment for child support. As mentioned in the article, it is often more than 25%.

      As concerns unsecured debt, the wages cannot be garnished in excess of the 25%, or the maximum allowed by the state law, the lower of the two. Although, the wages may be protected from additional garnishment, your husband may still face other collection actions, such as bank levies, and liens on personal property. In addition, multiple garnishments could endanger his employment. I recommend that you look into a debt relief solution must appropriate to your situation.
      0 Votes

  • 35x35
    Dec, 2011
    Sara
    My BF has one garnishment comming out and is HOH, so they can only take 10%. Now another garnishment has started, and they are taking (splitted up) 25%. HR had another HOH paper attached to the garnishment papers, if he has that signed and turn in, I was wondering if both garnsihments have to split 10%, into 5% each or do they both get 10% equallying 20% total each pay check? We live in MO.
    0 Votes

    • 35x35
      Dec, 2011
      Bill
      Generally speaking, if the debtor qualifies for a limitation on the amount that can be garnished, or is otherwise maxed-out at the statutory limit, the first party that is garnishing "blocks" all others until the first garnishment order expires. You mentioned Missouri. Consult with a Missouri lawyer who has consumer law experience for a more precise opinion. If you cannot afford a lawyer, contact Legal Services of Missouri.
      0 Votes

  • 35x35
    Dec, 2011
    Amoray
    I live in Florida. On 12/1/11 my Bank account was Garnished and a hold was placed on my entire balance. My questions is: I am suppose to receive a notification or letter from the Creditor letting me know what they have done along with instructions on what I need to do if the funds that were in that account are Unemployment Benefits, Social Security Benefits or that I am a Head of Household etc? What happens if the Creditor never sends me this notification? Thank you so much for taking the time to help me with this stressful situation Mayra C Miami, Fl
    0 Votes

    • 35x35
      Dec, 2011
      Bill
      You mentioned Florida. I can find nothing in Florida law that requires a judgment-creditor to give notice to a judgment-debtor before garnishing his or her wages, levying a bank account, or filing a lien. Readers: Please comment below if you know of such a rule in Florida.

      Consult with a Florida lawyer who has experience in consumer law to learn more.

      Call your county bar association and ask for the names of the organizations that provide no-cost legal services to people with low or no income in your area. Make an appointment with one of the organizations, and bring all of the documents and letters you have regarding the debt to your meeting. The lawyer you meet will advise you accordingly.
      0 Votes

  • 35x35
    Dec, 2011
    Jana
    My sons father is garnished at the 60% level here in Kansas. Owes close to 30 grand. He claims to have had his Bank account garnished for another debt. Is that legal or even possible. He has told many untruths,
    0 Votes

    • 35x35
      Dec, 2011
      Bill
      It depends on how much he makes and who is garnishing his pay. If his debts were strictly to credit card issuers, for example, then he could not have more than 25% of his disposable income garnished. On the other hand, if he owes the IRS, then he could have such a large amount levied from his pay, again depending on his income. His bank account could be garnished by any judgment-creditor.
      0 Votes

  • 35x35
    Oct, 2011
    Monique
    My brother who is a resident of Georgia is having his wages garnished at the 25% rate a week by a title loan company and has been for for the past two months. Now they have taken action to levy his bank account with no prior notification from them or the court this was granted in. Is this legal? This company is now receiving 100% of his income for the next two weeks since it takes two weeks for his employer to process the stop of his direct deposit, not to mention the one week they have already taken.
    0 Votes

    • 35x35
      Oct, 2011
      Bill
      Ask your brother to consult with a Georgia lawyer who has consumer law experience to learn if Georgia law prohibits Georgia judgment-creditors from exercising a wage garnishment and account levy (sometimes called an account garnishment) simultaneously. I know of no state statutes that prohibit this practice, but Georgia case law may.
      0 Votes

  • 35x35
    Oct, 2011
    nessa
    Hi. I live in the state of Washington. A collector is garnishing part of my check and I just received another garnishment notice. Is that allowed and would I still be able to file for bankruptcy, even with those garnishments in place? What steps do you recommend i take to file for bankruptcy?
    0 Votes

    • 35x35
      Oct, 2011
      Bill
      As the article above states, yes, two creditors can garnish you at the same time, as long as the total amount being garnished does not exceed the limits set by your state's law.

      Having a current wage garnishment is not a barrier to filing bankruptcy. In fact, once the bankruptcy is filed, the garnishments are stopped.

      I suggest that you speak with a bankruptcy attorney ASAP, to see what kind of bankruptcy you can qualify for and whether filing for BK is a good idea.
      0 Votes

  • 35x35
    Oct, 2011
    cristian
    I live in maryland i have a garnishment for 25 percent of my check for a judgement. No i have a $750 child support garnishmnet will both be garnished or will the child support over rule the other?
    0 Votes

    • 35x35
      Oct, 2011
      Bill
      Garnishment rules are based on percentages of your income, and not a static amount. Consult with a Maryland lawyer who has consumer law experience. He or she will look at the amount of your wages, and give you a precise answer based on Maryland and federal law.
      0 Votes

  • 35x35
    Oct, 2011
    Wendy
    My sons father is paid the last day of the month, his wages are being garnished. However his employer does not send the garnishment in when they withhold it therfore I never know when I am going to receive the child support. I live in Va. and have had several conversaiton with DCSE however there attitude I should be happy to receive support. Does his employer have an allotted amount of time to send in the garnishment once with held?
    0 Votes

    • 35x35
      Oct, 2011
      Bill
      I don't know the answer to your question. I suggest you try contacting DCSE again, as it doesn't cost you any money to do so, and you should be able to get your reasonable question answered. If you can't get a satisfactory answer from DCSE, consult with a lawyer who has experience in Virginia family law to learn if there is any case law that sets how much time is reasonable for an employer to hold a garnishment before sending it to the garnishing party.
      0 Votes

  • 35x35
    Oct, 2011
    Nyia
    I'm currently being garnished by student loans and now another company is garnishing my wages as well. Can they do that legally?
    0 Votes

    • 35x35
      Oct, 2011
      Bill
      Yes, as long as the total amount that is being garnished does not exceed your state's or the federal government's caps on wage garnishment.

      I don't know your state of residence, but you should not have more than 25% of your pay garnished, after your mandatory deducitons are taken for state taxes, federal taxes, and Social Security.
      0 Votes

  • 35x35
    Oct, 2011
    Robbie
    I had a bank levy of over $2000 applied over a year ago. The money is just frozen in my account and just shows its there but not available. When will the creditor actually take the money, or is there a way to get it reversed? I live in Md.
    0 Votes

    • 35x35
      Oct, 2011
      Bill
      Speak with the bank. I have never heard of this kind of indefinite freezing of funds. It is my experience that funds are frozen and then remitted to the creditor.
      0 Votes

  • 35x35
    Oct, 2011
    Allie
    My husband is hiding his second job to keep from paying more support. I know where the new job is. If I send them a garnishment can they garnish him as well even tho the first job already is taking for the order? Also we had a temp order, now we have a new order with a new case number however he still owns 2,000 on the old one if I send the new one should his job collect on both? I have not turned in the in order to them because I was told that the first order being not through child support instead through DV court is not able to collect from his income taxes. Why is that? Added info I am being told he has his job taking extra extra taxes... so the tax return will be higher :) because of his trying to be sneaky.
    0 Votes

    • 35x35
      Oct, 2011
      Bill
      The order to garnish must come from the Child Support Enforcement authorities, not from you.

      Take two steps:
      1. Contact the state agency that oversees child support collection.
      2. Contact an attorney, to make sure that you get what you are entitled to receive. If you had an attorney for your divorce, then start by consulting him or her.
      0 Votes

  • 35x35
    Sep, 2011
    Rowdy B.
    I have a simple scenario with a question. I get paid every 2 weeks. I am paying on back child support(Current owed 10k). My garnishment for child support is a set amount of 60.00 a paycheck or 120.00 a month. I bring home roughly 550.00-600.00 every 2 weeks. I have multiple medical bills in collections and Im worried collections may try and attach a second garnish to my wages for the medical bills.(Second meaning second to my child support garnishment) I live in the state of Oregon. Can the collection agency attach a garnishment along with my current child support to my wages or does my child support garnishment take presidence over the collection agency? Thanks so much.. Rowdy B.
    1 Votes

    • 35x35
      Oct, 2011
      Bill
      In Oregon, up to 25% of your income can be garnished (after mandatory deductions for state and federal taxes, as well as social security are taken into account). While your child support garnishment does take priority over other debts, because it is not taking the full amount Oregon law allows, another garnishment could hit your pay, taking whatever it can until you are left only with 75% of your pay.
      0 Votes

  • 35x35
    Sep, 2011
    Gina
    Our wages are being garnished the 25% and then what is left goes into the bank. We have another judgment with the same law firm and they have garnished the bank account twice now. They took out 1600.00 last month and now they have a hold on there for another 300.00 to satisfy the judgement. I am guessing that if I had two more judgments then we would never get a paycheck because they are getting a lot more than the 25% that I understood was all they could get at a time by law. Am I looking at it right?
    0 Votes

    • 35x35
      Sep, 2011
      Bill
      In most jurisdictions, courts call an order to deduct funds from a paycheck and handed over to a judgment-creditor wage garnishment. Confusingly, some courts will call an order to withdraw funds from an account an account garnishment. In other states, account garnishment is called levy.

      There is no prohibition in any jurisdiction that I am aware of for Judgment-Creditor A to have a wage garnishment against a consumer, and Judgment-Creditor B to have a levy order against the same consumer. The law sees wage garnishment and account levy as separate remedies, and the use of one does not block the use of the other.
      0 Votes

  • 35x35
    Sep, 2011
    Lee
    I have a $25.00 a week wage assignment with the IRS. This is approximately 3.5% of my disposable income. I have recieved a judgement from a creditor for 15% of my disposable income. My employer is trying to start the second garnishment. I live in Delaware, and always thought Delaware only allowed one garnishment at a time. Can my employer start the second garnishment?
    0 Votes

    • 35x35
      Sep, 2011
      Bill
      The number of garnishments is not significant, but the amount is. Consult with a lawyer in your state who has employment law or consumer law to learn if the amount the employer plans to take is within state and federal limits.
      0 Votes

  • 35x35
    Sep, 2011
    Shauna
    Hi there. My boyfriend has numerous judgements against him. one creditor is already Getting the max 25% of his after tax earnings but another creditor is repeatedly seizing his bank account..... Is this legal since he already has 25% of his earnings taken? It is simply credit card debt, no tax or child support. We live in Michigan. Any advice would be helpfull, Thanks!
    0 Votes

    • 35x35
      Sep, 2011
      Bill
      What you describe is called an account levy or account garnishment, depending on your state's laws. The effect is the same, however. The answer to your question is yes, one judgment-creditor may garnish a consumer's wages and a separate judgment-creditor may levy that consumer's financial accounts.
      0 Votes

  • 35x35
    Sep, 2011
    Dave
    I live in Illinois. Can two different creditors garnish my wages at the same time? If so what is the percentage of my gross wages? Any help is greatly appreciated!!
    0 Votes

    • 35x35
      Sep, 2011
      Bill
      Yes, the number of simultaneous garnishments is not limited, but the total amount that can be garnished is limited by state and federal law. See the Bills.com resource Illinois Collection Laws and the Illinois Legal Aid Wage Garnishments page to learn more.
      0 Votes

  • 35x35
    Sep, 2011
    Joe
    My child support garnishment is about 50% of my net pay. If a creditor won a judgement against me could they garnish my pay even further?
    0 Votes

    • 35x35
      Sep, 2011
      Bill
      Not for a credit card debt. A judgment-creditor for a credit card debt could come after your bank account, however.
      0 Votes

  • 35x35
    Sep, 2011
    zana
    I just got done with paying off one garnishment. I have another one that should have been started, but the last two paychecks have been full checks. Is that normal?
    0 Votes

    • 35x35
      Sep, 2011
      Bill
      It is not unheard of. If you are eager to get the next garnishment started, so it will be paid off sooner, contact your payroll department to make sure they have the papework they need.
      0 Votes

  • 35x35
    Aug, 2011
    Bob
    Hi. Can you provide the federal laws or documentation that states 25% is the highest amount that can be garnished. My employer does not seem to know about this law. Thanks in advance!
    0 Votes

    • 35x35
      Aug, 2011
      Bill
      The law is Title III, Consumer Credit Protection Act (CCPA) 15 USC §1671 et seq., 29 CFR Part 870.

      According to the US Dept. of Labor, the amount "that may be garnished in any workweek or pay period to the lesser of 25 percent of disposable earnings or the amount by which disposable earnings are greater than 30 times the federal minimum hourly wage." Show your employer the information at the Dept. of Labor Web site.
      0 Votes

  • 35x35
    Aug, 2011
    Shannon
    Hi, I have a medical wage garnishment thats about to end but its the paycheck amount that seems odd. For the last 6 months, my checks have been the same total 11 out of 15 checks. Can they cap my checks to only allow me one flat total each paycheck? The amount never changes each time and I don't even owe that much each check when they take the garnishment (maybe like 25 bucks each time) so why are my checks the same on the total each time? My employer didn't understand that either and brushed it off as thats how much Im being allowed to earn each check I guess.
    0 Votes

    • 35x35
      Aug, 2011
      Bill
      Without seeing your pay stubs and the garnishment order, I cannot explain what you see.
      0 Votes

    • 35x35
      Aug, 2011
      shannon
      Sorry maybe I wasn't clear. Every two weeks my paycheck has been 435.00 on the dot since the beginning of this year. My wage garnishment is a medical one and they take out anywhere from 20 to 60 dollars each check for the last 1 1/2 years. But this year 2011, 11 out of the 15 paychecks Ive received have been 435.00 exactly. Its a weird number to always have when Im hourly and they said Im almost finished paying it off. But is this normal to be limited to this same amount for one same garnishment each paycheck? Im in Ohio...
      0 Votes

    • 35x35
      Aug, 2011
      Bill
      If you are saying that you worked a different amount of hours for the 11 pay periods and had a different gross pay on the checks, but the net was always $435.00, that does seem unusual for a medical debt garnishment. It would make more sense for a IRS debt garnishment, where the IRS takes everything over a certain amount earned. Medical debt garnishments are usually a percentage of your wages.
      0 Votes

    • 35x35
      Aug, 2011
      Shannnon
      Hi, Sorry to bother you again...but who would I ask about this? Clerk of courts or the lawyers that are wage garnishing me? The last two paychecks again where 435.00 on the dot and I worked more hours to see if this would change, it didn't. Do they take the 25% before or after taxes? Thank you!
      0 Votes

    • 35x35
      Aug, 2011
      Shannon
      Well I think that after my taxes are taken out, the wage garnishment takes the difference. So I made $464.70 (take home) and then they minus $435.00 (not sure why this number) and they get the difference of $29.70 for the wage garnishment for this paycheck. Am I getting a break? Thank you!
      1 Votes

    • 35x35
      Aug, 2011
      Bill
      I believe that you are going to get a maximum of $435.00, which is consistent with federal law. You have to be left with at least 30 times the minimum hourly wage of $7.25, which comes out to $217.50 per week or $435.00 for two weeks. You can be garnished a maximum of 25% of your disposable wages, which are calculated after your mandatory federal and state taxes and social security deductions are taken. If the garnishment can't take the full 25%, it takes whatever it can up to the point of leaving you the $435.00.
      0 Votes

  • 35x35
    Aug, 2011
    chris
    Hi there. I'm currently receiving a garnishment and live in Missouri. I just received a letter from my employer for another garnishment. My question is can they take more than one garnishment at a time per pay period. And 2nd do employers normally terminate employees for having more than one garnishment currently ongoing and one pending. My third question is once judgment has been rendered can you make payment arrangements to stop the garnishment with the company who garnished your wages. Thanks.
    0 Votes

    • 35x35
      Aug, 2011
      Bill
      Yes, more than one creditor can garnish your income at the same time. The total garnishment can't exceed 25% of your total wages, except for garnishments for certain types of debt, such as child support and IRS tax debt.
      Federal law, Title III, Consumer Credit Protection Act (CCPA) "prohibits an employer from discharging an employee because his or her earnings have been subject to garnishment for any one debt, regardless of the number of levies made or proceedings brought to collect it. Title III does not, however, protect an employee from discharge if the employee's earnings have been subject to garnishment for a second or subsequent debt." To me, this means that your employer is legally allowed to terminate you for having more than one garnishment. Whether your employer decides to do so is at its discretion.

      There is nothing that prohibits a creditor from agreeing to a payment plan with you post-judgment, although the creditor is not required to do so. If the creditor feels that garnishing your wages serves its interests best, it will stick with the garnishment.
      1 Votes

  • 35x35
    Aug, 2011
    JENNIFER
    I live in the state of Wisconsin. My husbands check was already being garinished 25% due to a small claims judgment for medical bills. They are now taking another 25% for unpaid taxes. After all was said and done his check was 40% of his gross pay. I understand that the 25% rule does not apply to the taxes but should it still apply to the medical bills, even though that garnishment started first? Shouldnt the medical garnishment be stopped until the other one if fulfilled?
    0 Votes

    • 35x35
      Aug, 2011
      Bill
      The answer to your question depends on your state laws. Consult with a Wisconsin lawyer who has consumer law experience. My interpretation of the Wisconsin garnishment rules is the same as yours. However, I am not a Wisconsin lawyer, and therefore am incompetent to offer a meaningful opinion on the matter.
      0 Votes

  • 35x35
    Aug, 2011
    Wilbur
    I live in Florida. I noticed that my last paycheck was hit with a 58% levy. Yes...58% of my net pay was taken out. I thought the legal limit was 25%. What can I do?
    0 Votes

    • 35x35
      Aug, 2011
      Bill
      Who is garnishing your pay? The IRS, for instance, can garnish far more than 25%. I believe that a garnishment that was made to collect on child support can, too.

      Speak with a bankruptcy attorney, to see what can be done to stop the garnishments,
      0 Votes

  • 35x35
    Jul, 2011
    Dominic
    I live in Texas. I am thinking about relocating to New Jersey. I have some unpaid debt with several collection agencies (credit card, payday loan, and cable bill). My question is, since Texas is a non-garnishment state and if I move to New Jersey, can my wages be garnished for the past unpaid credit obligations?
    0 Votes

    • 35x35
      Aug, 2011
      Bill
      Your past Texas residency does not protect you from garnishments on your wages, once you establish residency in another state.
      0 Votes

  • 35x35
    Jul, 2011
    Nicole
    Hello, I live in Texas and I currently have an administrative wage garnishment coming out of my paycheck. I have several other loans with two different state guarantee agencies. Is it possible to have another wage garnishment placed on me from the other state guarantee agency? I want to consolidate all of my loans into a direct loan and them enter the IBR plan. I was informed that I could not consolidate the loans that I am being garnished for. How do I get those out of garnishment? You would think the debt collectors would rather have the lump sum payoff from the new consolidation loan rahter than the small monthly garnishment...
    0 Votes

    • 35x35
      Jul, 2011
      Bill
      I am not clear on whether your loans are federal or state. If they are federal, then I suggest you contact the Federal Student Aid Ombudsman of the Department of Education. The Ombudsman can direct you how to get the loans out of garnishment and explain your options.

      I can't say this with certainty,but I believe that one student loan garnishment take up to 15% of your income and, if there are more than one, it can go up to 25% of your income.
      0 Votes

  • 35x35
    Jul, 2011
    chris
    I have a wage garnishment for child support from California. It seems that I own IRS as well. Can both garnish? Would I be able to file for an IRS Offer in compromise, based on financial hardship?
    0 Votes

    • 35x35
      Jul, 2011
      Bill
      A state child support agency and the IRS may garnish one person at the same time. IRS garnishments can be brutal, leaving a garnishee with very little to live on. The IRS Wage Levy Table, Table 668-W, illustrates how little the IRS can leave a person when garnishing him or her. For example, the IRS can leave a single person with as little as $791.67 per month, take everything else her or she earns!

      You may or may not qualify for an Offer in Compromise. To qualify, you must prove to the IRS that you can't afford to pay them. The IRS looks at your monthly expenses and compares it to your income. The IRS doesn't care about all of your expenses, but it does take into account court-ordered child support payments. How many years your support payments will last is important, when qualifying for an OIC. Although the IRS takes into account the size of your support payment when deciding whether or not you can afford to pay them anything right now, even if the IRS decides that you can't pay them one penny right now does not mean that your OIC will be accepted. The IRS may turn down your OIC because of your assets. Your OIC may also fail because the IRS has longer to collect on your debt than your child support payments will last. In that case, the IRS can just wait until your support payments end and have you start paying them afterward.

      Consult with a reputable tax professional to better understand your options.
      0 Votes

    • 35x35
      Aug, 2011
      Geneva
      My husband's paychecks are currently being garnished by both child support(arrears)$62.50 each pay period and FTB Calif. is taking $75.00 each pay period. The EDD now wants to garnish his wages, for an $800 over payment from 13 years ago that we just recently found out about, now that has turned into $2400.00+ is this possible? if court ordered? If so can they take 25% of the remaining disposable earnings, or will they have to wait in line, what can we do? Advice please! We are both making huge payments to IRS as well! Thanks Geneva in California
      0 Votes

    • 35x35
      Aug, 2011
      Bill
      The kinds of garnishments hitting your spouse's pay are not subject to the same limitations that apply to garnishments from a defaulted credit card debt or car repossession.

      There should be some limit, however. The limits are based on the size of your family and what are defined as allowable living expenses. I believe that the State of CA will use the same formula as the IRS, to define what expenses are allowable.

      Have your spouse contact the EDD right away and ask to make a financial disclosure of household income and assets, in order to see if the EDD garnishment can be held off temporarily or limited to as small amount as possible.

      Lastly, if you were to file for bankruptcy, even if the debts you described can't be discharged, all garnishments are put on hold. You may find it useful to at least consult with a bankruptcy attorney and hear what he or she says.
      1 Votes

  • 35x35
    Jul, 2011
    DANIELLE
    I live in Idabel Oklahoma and I owe for a hospital bill. I work at a fast food place and I'm a single mother, on top of that I go to school, I had agreed to $135.00 every two weeks. With that in mind, I decided to work over and also receive my holiday pay and make extra money,basically working to cover what they where taking), after receiving my check I learned the they took even more out and now I'm like what am I supposed to do? Is that fair? Can they do that?
    0 Votes

    • 35x35
      Jul, 2011
      Bill
      I don't fully understand. Did you agree that to an automatic deduction from your paycheck or are you being garnished? Did you have a written agreement to pay the debt at the $135 every two weeks?

      Maybe you can get some guidance from the Oklahoma Department of Labor.
      0 Votes

  • 35x35
    Jun, 2011
    Jim
    I lived in Oklahoma in 2005 and got a judgment against me for deficiency on a car I returned. I have lived and worked in Texas since December 2005. I started a new job in February and just got a letter that the creditor is garnishing my next paycheck by order of the Oklahoma court. Can they do this since Texas does not allow wage garnishments? if not, what do I need to do to make sure my employere, which is headquartered in anither state (not Oklahoma or Texas) does not take my paycheck.
    0 Votes

    • 35x35
      Jun, 2011
      Bill
      Unfortunately, your letter does not contain enough information for me to offer a useful observation. Consult with a Texas lawyer who has consumer law experience. He or she will ask to see the notice you received, and will advise you accordingly.
      0 Votes

  • 35x35
    Jun, 2011
    Leopold
    Hi-I'm a FL resident and I've had a Judgement placed against me from Citibank for credit card debt roughly 10 months ago. I have closed out any bank accounts in my name and I've not been employed since. I just accepted a job with a company based in Texas, but my work will be primarily be in FL. I've read that Texas does not allow garnishment of salary by credit card creditors, but not sure if that pertains to Texas residents only and/or those who work in Texas. FL does allow garnishment for this type of debt, unless you qualify for the "Head of Household" exemption-which I would. Do you think there's a chance the creditor would contact my new employer and attempt garnishment even if they are located out of state? And if so, how long could it take for a creditor to catch wind of my new employment? (not even sure how they'd find out). I would be sure to either have my paycheck mailed or direct deposited into a new bank that I've never dealt with. Thanks for your time.
    0 Votes

    • 35x35
      Jun, 2011
      Bill
      Where your employer's headquartered or the location of its payroll office is irrelevant for the purposes of a wage garnishment. As a Florida resident working in Florida, Florida's employment and wage garnishment laws apply to you. That said, it is possible that a judgment-creditor may argue to a Texas judge that Texas law may apply in your particular circumstances, and it is theoretically possible for a sympathetic judge to agree, but I see that unlikely.

      Skip tracers learn the location of debtors and the names of their employers by legal and illegal means. If a judgment-creditor is motivated enough, it will eventually learn if you are employed and by whom. How long that takes depends on the level of motivation. If you owe $1 million, that is a lot of motivation. If you owe $1,000, someone might make a phone call or two then give up because the debt amount just is not worth the effort.
      0 Votes

    • 35x35
      Jun, 2011
      Leopold
      Thanks for the quick reply. The debt is for roughly 25K. Do you think it's unlikely that the creditor would pursue garnishment because of having to petition an out of state judge (Texas in this case)? Or is it that garnishments are rare in Florida perhaps? I've seemed to have read about quite a few people being garnished here in Florida. Thanks again
      0 Votes

    • 35x35
      Jun, 2011
      Bill
      There are two likely scenarios: First, the creditor sues you outside of Florida, wins a judgment, and then domesticates that judgment in Florida to attempt to garnish your wages or levy your bank accounts. Second, the creditor sues you in a Florida court, wins a judgment, and then attempts to garnish your wages or levy your bank accounts. The unlikely scenario is the creditor sues you in Texas, and then attempts to use that judgment to garnish your wages from your Texas employer. I regret mentioning the unlikely scenario earlier because it is so far-fetched, and I see it created confusion.

      I do not know how creditors pick and choose which debtors to sue. I have seen instances where creditors will sue debtors for less than $5,000, but will seemingly ignore debtors with $50,000 collection accounts. From an outsider's perspective, the selection process seems random. Were I advising creditors, I would suggest pursuing the five- and six-figure debtors and forget the small fry.
      0 Votes

    • 35x35
      Jun, 2011
      Leopold
      Got it. We'll...since Citi has sued already and won the Judgement as I did not show up in court for the hearing, I will assume that at any time my wages can be garnished and/or a bank account could be frozen regardless the fact that the company I work for is a Texas corporation. Would you suggest that I proactively apply for the "Head of Household" exemption to be ready if the garnishment is attempted? And would you suggest I contact the creditor and inform them of this exemption in an attempt to dissuade them from attempting the garnishment at all? Or do you feel this could open a can of worms? I'd like to try to avoid the embarrassment and stigma of being garnished especially given the fact that I'll be starting with a new job with a new company. Thanks so much-this info is priceless.
      0 Votes

    • 35x35
      Jun, 2011
      Bill
      If I were in your shoes, I would talk to an attorney in Florida, to make sure I took the best steps to protect my income. You said you feel that you meet the definition of head of household. If that is the case, then your wages should be protected from garnishment (though not your bank account). As 25% of your wages are at risk, if you are not head of household, speak with an attorney to find out if you do or do not meet the head of household requirements.
      0 Votes

  • 35x35
    Jun, 2011
    Jason
    I have an outstanding balance with a University left over from graduate school. This debt is not a loan just an overdue balance with the cashiers office. If I am currently on Missouri unemployment. Can they garnish my unemployment wages to pay this debt?
    0 Votes

    • 35x35
      Jun, 2011
      Bill
      Unemployment benefits are generally not subject to garnishment. There are exceptions for child support, alimony and certain debts owed to the state paying the unemployment, but the debt you described will not lead to your unemployment benefits being garnished. See the Bills.com resource Missouri Collection Laws to learn more about your rights and liabilities as a Missouri resident.
      0 Votes

  • 35x35
    May, 2011
    mary
    can your wages get garnished if your paying child support for 2 kids?it comes right out of my check.i live in AZ.
    0 Votes

    • 35x35
      May, 2011
      Bill
      See the Bills.com resource Arizona Collection Laws to read a discussion of Arizona's wage garnishment rules, and to see links to Arizona wage garnishment statutes.
      0 Votes

    • 35x35
      May, 2011
      mary
      i really don't understand all of it.if i'm already being garnished twice for 2 kids can another garnishment take affect at the same time?also, i have an account with someone else can they tie that up and take the money?
      0 Votes

    • 35x35
      May, 2011
      Bill
      Joint checking and saving accounts are at risk of a levy if one of the account holders has a judgment against them. Judgment-debtors should close any of their joint accounts.

      Consult with a lawyer in your state regarding your state's garnishment rules, and how they apply to you.
      0 Votes

    • 35x35
      Jun, 2011
      Luis
      I live in fl and I am the head of my house hold, currently my wages are being garnished by a company who I owe money to, the debt was acquired in new York, am I protected by Florida law against garnishment? I was told because the debt was aqquired In new York Florida law does not apply, is this true?
      0 Votes

    • 35x35
      Jun, 2011
      Bill
      Was the person who told you Florida collection laws did not apply to a Florida resident your lawyer? If the person who told you that was your lawyer, then you can believe his or her statement about your rights as a Florida resident. However, if the person who told you that Florida collection law does not apply to Florida residents was not your lawyer, then do not believe them.

      If the person who gave you this information, which is complete nonsense, was a collection agent, then you should not believe them. Collection agents often give incomplete or incorrect legal advice to consumers. You mentioned Florida. See Florida Collection Laws to learn more about your rights and liabilities.
      0 Votes

  • 35x35
    May, 2011
    LUIS
    I owe about $29,000 in credit cards,Im been sue in court and they already took away the litle$$ that i use to have on my checking acct. I have the money to pay for all these in a 401K. Can they take away my 401K $$.I live in California
    0 Votes

    • 35x35
      May, 2011
      Bill
      Retirement accounts, such as IRAs and 401(k)s, are exempt from collection by judgment creditors, generally speaking.
      0 Votes

    • 35x35
      May, 2011
      LUIS
      Thanks so much for your answer. Luis F.
      0 Votes

  • 35x35
    May, 2011
    Martin
    I have a garnishment in NE. The bill is for about $550.00 but the garnishment order says that I have a continuing lien until the last of July. This would have me paying much more then I owe. What is up with that?
    0 Votes

    • 35x35
      May, 2011
      Bill
      It is impossible for me to answer a specific question about this garnishment order without reading it. Take your garnishment order to a lawyer who has civil litigation or consumer law experience. He or she will be able to explain the order.
      0 Votes

  • 35x35
    May, 2011
    Richard
    I have filed for motion for installment payments and was awarded the payments. I have an order to stop garnishment but he creditor still has recieved a garnishment that was dated after the order. Am I intitled to get that garnishment payment back
    0 Votes

    • 35x35
      May, 2011
      Bill
      Yes, because the garnishment was dated after the order you received.
      0 Votes

  • 35x35
    May, 2011
    Nancy
    I have a situation right now in where I am being garnished 15% for being head of household and then I just got word that my bank account is being garnished as well from a different collection agency. Is there something I can do so that they can stop this garnishment on my bank account? Can these agencies do this even if you notified them that your wages being Direct Deposited to your bank account have been garnished by another agency?
    0 Votes

    • 35x35
      May, 2011
      Bill
      Unfortunately, the judgment the creditor holds against you allows them to levy your bank account. The fact that your previously garnished wages were deposited into your account does not protect you. Essentially, the wage and bank levies are two separate categories. While there is a cap on how much of your wages can be garnished at one time, based on the state in which you live, once you deposit your check into your bank account it is fair game. Possible defensive strategies include: not using direct deposit, opening a new bank account at an institution where you have never had an account before, and taking out the money that is deposited into your account as quickly as possible.

      Please be aware that a creditor can levy a bank account repeatedly.
      0 Votes

  • 35x35
    May, 2011
    Ellen
    hello, I live in Ohio. For the last two years the us department of education has been intercepting my federal tax return. Not my state return. My wages have not been garnished. But I have been laid off from my job in the last month. I'm due to collect unemployment benefits this week. Can the us dept of Ed. Take those benefits from me too? I will literally be homeless if this happens. How can I find out?
    0 Votes

    • 35x35
      May, 2011
      Bill
      See the Bills.com resource Ohio Collection Laws to see a discussion of Ohio's wage garnishment laws.

      Unemployment and Social Security benefits are not wages, and are therefore not subject to garnishment for judgment-creditors and student lenders.
      0 Votes

    • 35x35
      May, 2011
      joe
      Hello, I live in Massachusetts and I want to know if I am paying child support can the IRS also issue a levy for back taxes and if so how much can they take?
      0 Votes

    • 35x35
      May, 2011
      Bill
      Yes, the IRS can levy you, even when you are paying child support. How much they can take from your wages depends on how much you make and the size of your household. You can view the IRS levy table that shows how much of your wages are EXEMPT from levy.

      Keep in mind that the IRS can levy any bank account you have, even one shared with another person.

      I recommend that you consult with a tax professional to see if there is a good way to stop the levy or even to reduce what you owe through an Offer in Compromise. If the debt is small, you may want to contact the IRS to set up a monthly Installment Agreement.
      0 Votes

  • 35x35
    Apr, 2011
    chris
    I have a credit card judgment against me in California. I moved to Texas last year and work for a company that gives me a payroll check coming out of Arkansas. My wages have just been garnished. I thought Texas law did now allow for this? But maybe because the judgment is out of state and payroll department is out of state it is possible? What can I do?
    0 Votes

    • 35x35
      Apr, 2011
      Bill
      Texas law does not allow wage garnishment. Under Texas Sec. 63.004. CURRENT WAGES EXEMPT. "Except as otherwise provided by state or federal law, current wages for personal service are not subject to garnishment. The garnishee shall be discharged from the garnishment as to any debt to the defendant for current wages."

      Introduce your payroll department to Texas 63.004, and explain that it needs to cease the garnishment immediately.
      0 Votes

    • 35x35
      Apr, 2011
      Chris
      Thanks for your quick response. My employer is a retailer and they have stores all over the USA. Im not sure what state they are based out of though, but I know their payroll department is in Arkansas. So, even if they are based out of another state and my check comes from another state, the Texas laws still apply, not the laws of the state they are based out of? I just want to be sure.
      0 Votes

    • 35x35
      Apr, 2011
      Bill
      Texas laws apply to Texas residents and others working in Texas. If, hypothetically, the minimum wage under Texas law was $20 per hour, that law would apply to all workers in Texas regardless if their employer was headquartered in Austin, Boston, or China. Consult with a Texas lawyer who has experience with Texas consumer or remedies law. Ask him or her to send a letter to your employer's payroll manager explaining Texas law, and how it protects you from garnishment.
      0 Votes

    • 35x35
      Apr, 2011
      chris
      Well I called the payroll department and let them know the situation. They said the judgment is for Discover card in California. I said yes I know, but I live in Texas now and wage garnishment is not allowed for that type of judgment. Then they said they cannot stop it till I call the lawyer for Discover card and have them send some order to stop the garnishment. Ofcourse if I call the lawyer, he wont care, he will keep the garnishment. So basically , they dont care I live in Texas. She said she will still follow the judgment. What can I do now?
      0 Votes

    • 35x35
      Apr, 2011
      Bill
      Consult with a Texas lawyer who has experience with consumer law or a branch of civil law called "remedies." Your lawyer will send the payroll manager a letter explaining Texas law, and how your employer is violating it.
      0 Votes

  • 35x35
    Mar, 2011
    Deanna
    My employer received a paper for wages to be garnished due to back child support. I was aware that this would happen, so I was prepared. They have currently taken out $179.97 in the past three paychecks that I have received, but after contacting the Department of Child Support Enforcement Agency, they have not received ANY of the money that has been garnished!!! I am not upset about the money being taken out, but I am concerned about where all that money went. My employer received an order of compliance, but still the payments have not been received. What can I do about this????
    0 Votes

    • 35x35
      Mar, 2011
      Bill
      Speak to your company's payroll department to find out where they are sending the money and make sure it is going to the right place. If not, I suggest calling the Department of Child Support Enforcement Agency and asking them what steps you need to take, if any.
      0 Votes

  • 35x35
    Mar, 2011
    Le Ann
    I live in Idaho and, since January 10, 2011, 25% of my wages is currently being garnished by a creditor (Beneficial). I also have a second judgment against me (Capital One)and letters from two additonal creditors (Department of Educations and Citifinancial)threatening legal action. My dreadful economic situation stems from a sudden income reduction totalling almost $2,000/month. I've decided to file Chapter 7 bankruptcy in October 2011 - it will take me this long to squirrel away the $1200 necessary to cover the retainer and court filing fees - but in the meantime, I don't have enough leftover money to purchase groceries, gas, toiletries, medications, etc. I work for the federal government and several hundred dollars in TSP contributions and hardship loan repayment fees are taken out before the money is deposited into my bank account. Also, a combined total of $633 is automatically deducted from my account to cover auto/homeowners insurance and a credit union loan. After I pay the phone bill and the electric bill (no mortgage or rent), I'm left with just under $200/month. I have no credit cards. Is it possible to lobby - and get - a smaller percentage (10%)of my wages garnished in light of the fact that I'm left with so little to live on? Thanks for your help.
    0 Votes

    • 35x35
      Mar, 2011
      Bill
      Consult with a Idaho lawyer who has experience in Idaho Title 8: Chapter 5 Attachments And Garnishments to learn if Idaho law allows a judgment-debtor to file a petition to reduce a wage garnishment. If you cannot afford a lawyer, call your county bar association and ask for the name of the organization that provides no-cost legal services to people in your area with low and no income. Make an appointment with that organization and bring all of the documents relating to your debts to that meeting. The lawyer you meet will advise you accordingly.
      0 Votes

  • 35x35
    Mar, 2011
    Sam
    My husband is receiving a garnishment, we live in colorado for restitution. They split it per paycheck, so we could make all of our bills. Today he received a garnishment for an unpaid car loan from sometime ago and this garnishment is alost 400.00 out of every paycheck. Which it looks like is the full amount. 1st question can they take more than one garnishment at a time and 2nd if so can we get the amount of the second reduced and how? Help Please
    0 Votes

    • 35x35
      Mar, 2011
      Bill
      Colorado follows the federal rules for wage garnishment. No more than 25% of an employee's wages may be garnished for a judgment. (Taxes, child support, and student loans have different rules.) If Judgment-Creditor A is already garnishing 25% of a person's wages, Judgment-Creditor B must wait in line until the first judgment is satisfied. It may not also garnish 25% simultaneously.

      If you receive any more notices of garnishment, pay them heed by filing a response with the court indicating a garnishment is already in place. Consult with a Colorado lawyer about filing a motion to vacate, suspend, or otherwise hold in abeyance the second garnishment until the first is satisfied.
      0 Votes

  • 35x35
    Feb, 2011
    Joe
    I live in california and have child support already garnishing my wages I recieved a notice today that I owe the IRS 534 so is both going to take out of my check leaving me with nothing??
    0 Votes

  • 35x35
    Feb, 2011
    Heather
    My husband has a garnishment that just hit his pay. Another agency is also sending hate mail. He called and they said that they would get there money by any means necessary. Well, they are both the same thing except one says we owe more. He is a federal employee and the mistake was theres for why we owe the debt. Not a big deal to pay it but he already pays a bunch of child support and the debt is to the IRS. I already py the IRS every month and now he is. They will hold ar taxes return again so what. We are making it and still can with this new garnishment chunk. However, if they freeze anything we will be strapped and not able to pay. I guess my question is can they touch his income anymore and keep adding penalties and interest when it is only one debt. The debt isn't even a year old.
    0 Votes

    • 35x35
      Feb, 2011
      Bill
      A collection agent or original creditor may charge interest and penalties if a) the interest and/or penalties are included in the original contract, or b) your state of residence allows interest and/or penalties to be charged on delinquent debt.
      0 Votes

    • 35x35
      Feb, 2011
      Steve
      Heather, if your husband is having his wages levied, a bank levy may be close behind. You may want to keep the family funds in an account with only your name on it, until the garnishment on your husband is no longer in force.
      0 Votes

  • 35x35
    Jan, 2011
    Ebony
    Hi Bill, I live in Michigan and I did a early turn in on a Lease Vehicle. There was a judgements placed against me for my taxes and bank account. I am now making monthly payments on this bill to the attorney office. I would like to know can they still garn me now that I have the payment arrangements? And if so can they take my taxes and garn my bank account for the same bill?
    0 Votes

    • 35x35
      Jan, 2011
      Bill
      If you reach a settlement or payment agreement with a judgment-creditor and are holding up your end of the bargain, the judgment-creditor may not garnish your wages, levy your bank account, or place a lien on your property. If you have other, unrelated judgment-creditors, they are not subject to the agreement you have with the first judgment-creditor. In other words, separate judgment-creditors are free to garnish your wages, levy your bank accounts, or place a lien on your property.
      0 Votes

  • 35x35
    Jan, 2011
    Dawn
    Can 25% of my check plus 25% of my husbands check be garnished for the same medical debt in Missouri?
    0 Votes

    • 35x35
      Jan, 2011
      Bill
      Yes, in theory a judgment-creditor can garnish two people for one medical debt.

      Let us say for the sake of argument that Spouse 1 brings Spouse 2, who became ill suddenly and unexpectedly, to the hospital. As the medical staff reviews Spouse 2's condition, the admissions staff asks Spouse 1 to complete and sign a series of forms. These include Spouse 2's medical history, insurance information, a HIPPA release form, and amidst these and other documents is a one-page guarantor contract. A signed guarantor contract gives Spouse 1 liability for Spouse 2's medical bills if Spouse 2 fails to pay them. Let us assume neither spouse pays the medical bills. The hospital has breach of contract causes of action to sue both spouses. If it sues and wins, it will be granted a pair of judgments — one for each spouse. It can use the judgments to garnish their wages, place liens on their property, or receive account levies.

      Alternatively, the hospital can use the common law doctrine of necessaries to sue Spouse 1 to receive payment for providing necessary care to Spouse 2. Not all states follow this doctrine, but Missouri does. [Medical Services Ass'n v. Perry, 819 S.W.2d 82, 83 (Mo.App.1991) and Hulse v. Warren, 777 S.W.2d 319, 321-322 (Mo.App.1989)]
      0 Votes

  • 35x35
    Dec, 2010
    Christi: Under Florida's rules of civil procedure 77.041, a defendant must receive a notice of a garnishment so that he or she can attend a hearing to litigate whether he or she is exempt. However, in the case of federal student loans, the Dept. of Education has reserved the right to garnish wages administratively. "Administratively" is a polite way of saying on their own authority without a hearing or otherwise involving your state's court system. See the Bills.com resource Florida Collection Laws to learn the general rules for Florida residents. Consult with a Florida attorney who has experience in employment law to learn precise answers to your employment questions.
    0 Votes

  • 35x35
    Nov, 2010
    I live in CT. I have a Federal tax garnishment in place and I am paying $25 a week. The state tax dept now wants to garnishment me 25% of my wages. I thought that only one garnishment can be inforced at a time?
    0 Votes

    • 35x35
      Nov, 2010
      Bill
      Section 52-361a, subsection (f), of the Connecticut General Statutes provides that: "(f) Amount subject to levy. The maximum part of the aggregate weekly earnings of an individual which may be subject under this section to levy or other withholding for payment of a judgment is the lesser of (1) twenty-five per cent of his disposable earnings for that week, or (2) the amount by which his disposable earnings for that week exceed forty times the higher of (A) the minimum hourly wage prescribed by Section 6(a)(1) of the Fair Labor Standards Act of 1938, USC Title 29, Section 206(a)(1), or (B) the full minimum fair wage established by subsection (j) of section 31-58, in effect at the time the earnings are payable."

      Under Connecticut law "disposable earnings" is the balance remaining after the following deductions have been made from gross wages: FICA, federal income tax, state income tax, normal retirement contributions, union dues or fees, group life insurance premiums, health insurance premiums, maintenance, and (if applicable) voluntary or court-ordered family or welfare support, federal tax levies, and state income tax deductions authorized pursuant to CGS Section 12-34b. All other deductions (savings bonds, deferred compensation, etc.) are optional and are not permissible in the calculation of disposable earnings.

      The maximum part of the aggregate disposable earnings subject to garnishment may not exceed the lesser of: 25% of the employee's disposable earnings for the week, or the amount by which his/her disposable earnings exceed 40 times the Connecticut state minimum wage. There is no limit on the number of simultaneous wage garnishments that I can find in Connecticut law, not withstanding the 25% rule and 40x state minimum wage rule. If the creditors agreed, in theory, one could take 10% and the other 15%.
      0 Votes

    • 35x35
      Dec, 2010
      stephen
      Enclosed is a copy of the CT statues, which limits I garnishment at a time. (f) Amount subject to levy. The maximum part of the aggregate weekly earnings of an individual which may be subject under this section to levy or other withholding for payment of a judgment is the lesser of (1) twenty-five per cent of his disposable earnings for that week, or (2) the amount by which his disposable earnings for that week exceed forty times the higher of (A) the minimum hourly wage prescribed by Section 6(a)(1) of the Fair Labor Standards Act of 1938, USC Title 29, Section 206(a)(1), or (B) the full minimum fair wage established by subsection (j) of section 31-58, in effect at the time the earnings are payable. Unless the court provides otherwise pursuant to a motion for modification, the execution and levy shall be for the maximum earnings subject to levy and shall not be limited by the amount of the installment payment order. Only one execution under this section shall be satisfied at one time. Priority of executions under this section shall be determined by the order of their presentation to the employer.

      Annotations to former statute: Assignment of wages held valid. 45 C. 562; change in firm membership held to invalidate assignment. 46 C. 324. "Earnings" equivalent to wages and does not include money due under contract. 76 C. 480. The provision that only one execution against wages at one time shall be satisfied is plain and unambiguous. Statute does not contemplate that debtor receive only twenty-five dollars a week and that additional executions may be levied on the excess. 143 C. 191. Cited. 144 C. 389.

      Title III of the CCPA sets a maximum amount that may be garnished in any pay period, regardless of how many wage garnishment orders are received by the employer. For common wage garnishments, excluding those for child support, alimony, bankruptcy, or any state or federal tax, the weekly amount may not exceed 25% of the employee's disposable earnings or by the amount by which an employee's disposable earnings are greater than 30 times the federal minimum wage. If a state wage garnishment law differs from the CCPA, the law resulting in the smaller wage garnishment must be observed.
      0 Votes

    • 35x35
      Dec, 2010
      Kristi
      I live in FL and am a teacher. Recently my wages were garnished by student loans. I did not receive notice from my employers that this would happen. Aren't you usually served papers to be sure you receive notice? How do you find out if you can get terminated for more than one garnishment? I am recently divorced and my ex claimed bankruptcy so I feel like everyone is probably going to come after me. And in FL is only one wage garnishment allowed at a time?
      0 Votes

  • 35x35
    Nov, 2010
    Simple question, which I hope you can answer: How many times in one year can the California FTB levy a bank account - I could have sworn my bank told me once a year, but that does not seem to be the case.
    0 Votes

    • 35x35
      Nov, 2010
      Bill
      If your banker is your lawyer, then I would trust his or her legal advice. If your banker is not your lawyer, then I would be skeptical of his or her legal advice. See the Bills.com resource California Collection Laws to see links to California's garnishment and levy laws. I am not aware of any limitation on the California Franchise Tax Board's limits on levying an account.
      0 Votes

  • 35x35
    Nov, 2010
    Nichole
    Hi Bill, My husband and I have state and federal tax debt. Both checks are currently being garnished for the Colorado State debt, we recently received notice that our bank account would be garnished as well. Is this legal in Colorado? We already have 25% out of both paychecks? Thank you for your helpful advice!
    0 Votes

    • 35x35
      Nov, 2010
      Bill
      I do not believe it would be legal for both the Colorado tax authority and the IRS to garnish your wages. Consult with a Colorado attorney who has experience in consumer law to learn a precise answer.
      0 Votes

  • 35x35
    Oct, 2010
    Suffering
    My husband is being garnished 25% for child support from a previous relationship. He went to court today for a garnishment order from the mother for an additional $2000 she claims is owed. The judge agreed that my husband's wages can not be garnished, but ordered my husband to pay $75 a month for this debt. How is it possible that this order can be made?
    0 Votes

    • 35x35
      Oct, 2010
      Bill
      You are asking me to offer an observation on a court order where my window into the order and the surrounding facts is tiny. See the Bills.com resource Illinois Garnishment Rules for a brief discussion of Illinois garnishment law, and where to find more in-depth assistance.
      0 Votes

  • 35x35
    Oct, 2010
    Bill
    Wisconsin does assign delinquent tax debt to one of three collection agencies: West Asset Management, NCO Financial Services, and Diversified Collection Services (DCS). Even if you have been contacted by one of these three firms, it does not necessarily mean that everything you were told is accurate. First, check with your company's payroll department. A wage garnishment cannot take place unless it is processed through the payroll department. Secondly, if the firm you work for is based in Texas and you work in Texas, the ability to garnish your wages, even for a tax debt, may be limited or non-existant. Texas has strong protections for wage-earners. For instance, unsecured creditors cannot garnish wages in Texas. I am not able to determine with 100% accuracy if this applies to state and federal tax debt collections.

    I recommend that you ask your payroll department what it knows about wage garnishments, that you read about Texas collection laws, and that you consult with a Texas attorney experienced in civil litigation to get precise answers to your questions about liens, levies, and garnishment in Texas. Independent of the ability to garnish your wages or not, you may be at risk for a bank levy. Review this with a Texas attorney, too.

    0 Votes

  • 35x35
    Oct, 2010
    Lost
    I lived in Wisconsin for many years. I cashed out a 401K acct in 2007 and was misinformed about the actual size of the taxes that I would owe. I ended up owing the State of Wisco around 5000.00 which has turned into over 7000.00 due to penalties. I am now living in Texas with family until I can get back on my feet and trying to come up with a solution to pay my debts. A creditor called me today at my place of employment and said that the state will start garnishing up to 45% of my wages effective this coming Thursday if I don't pay up immediately or pay at least half down and get on a payment plan! Is this possible???? Please help!
    0 Votes

  • 35x35
    Oct, 2010
    Bill
    I have not studied North Dakota's collections laws, and therefore am not competent to answer your question. Please see North Dakota Title 32: Judicial Remedies and specifically 32-09: Garnishment and 32-09.01: Garnishment for the statutes that cover garnishment in your state.
    0 Votes

  • 35x35
    Oct, 2010
    Suzie
    I live in North Dakota, and I was wondering if you could tell me what kind of garnishments have priortiy over others (ie child support, taxes, credit cards, etc). I have been trying to figure this out and am having no luck.
    0 Votes

  • 35x35
    Sep, 2010
    Bill
    See the Bills.com resource Kansas Collection Laws to learn more about garnishment rules in Kansas. Your sister should consult with a Kansas attorney to stop what I believe you described as a 50% garnishment of her wages.
    0 Votes

  • 35x35
    Sep, 2010
    Donyele
    My sister lives in Kansas and is having a similar problem she has 2 creditors taking the max 25% out of each paycheck, but if that isnt enough one of the creditors has a judgement stating that they can come in and seize her property while they are currently garnishing her wages. Is that even legal? What actions would you recommend she take?
    0 Votes

  • 35x35
    Aug, 2010
    Bill
    See the Bills.com resource California Wage Garnishment Limits for a general discussion of California's garnishment rules. You should expect that the Franchise Tax Board will restart the garnishment when the federal student loan garnishment is complete.
    0 Votes

  • 35x35
    Aug, 2010
    Lorenzo
    Hi, I live in California and I'm currently being garnished for a federal student loan. Currently they are taking roughly 12%. This has been going on since Jan 09'. Around March of 09' I was garnished by the CA state franchise tax board for some unpaid speeding tickets that have been settled in court.They were garnishing somewhere around 12% like federal. All of a sudden in August the garnishment from the state franchise tax board stopped. I gave the a call to see if it was paid off, they said no and that there was still a balance. I asked them why they did not continue to garnish and they said that it was "probably" because I was already being garnished federally and that they come first before them. As of now, the balance is still standing and I'm afraid that they may try to garnish again. Can the franchise tax board still do this? or do they have to wait until the federal loan is done? Currently the federal loan is still garnishing 12%
    0 Votes

  • 35x35
    Jul, 2010
    JOE
    AND THEY WONDER WHY PEOPLE FLY PLANES INTO IRS BUILDINGS. I HAVE A CLOSE FRIEND WHO IS ON UNEMPLOYMENT IN PA AND THEY ARE GARNISHING ALL OF HIS WAGES...HE HAS FULL CUSTODY OF HIS 3 CHILDREN AND NOW THEY CANT EVEN EAT...AND THIS IS AMERICA...SORRY AND SAD TO SAY BUT THIS COUNTRY IS NOT A FREE COUNTRY, WE HAVE LOST OUR RIGHTS AND ITS TIME TO FIGHT BACK, SCREW PEACE, WE NEED TO PHYSICALLY FIGHT BACK AGAINST THESE MOBSTERS WHO CONTROL THE IRS, AND COUNTLESS OTHER GOV ENTITIES THAT RUIN PEOPLE FOR FINANCIAL GAIN!
    0 Votes

  • 35x35
    Jul, 2010
    Bill
    Maybe. Consult with an Alabama attorney who has experience in consumer law. He or she will be able to review the facts in your case and apply Alabama law according to your situation. See also the Bills.com resource Alabama Collection Laws to find citations to Alabama's wage garnishment statutes.
    0 Votes

  • 35x35
    Jul, 2010
    sheila
    The social security ad. is garnishing my wages for overpayment they got 25% in the beginning and after several reviews they reduced that amount now another debt for an old student loan is threating to garnish wages. I live in alabama can they do two garnishments at the same time??
    0 Votes

  • 35x35
    Jul, 2010
    Bill
    The facts in your statement do not add up. 1) Unemployment benefits may not be garnished, generally speaking. 2) Wage garnishment is restricted in Pennsylvania, relatively speaking. See the Bills.com resource Pennsylvania Collection Laws for more information. In any state, neither federal or state law would allow 100% of wages to be garnished.
    0 Votes

  • 35x35
    Jun, 2010
    Walt
    My sister lives in MO and just had her entire check taken (garnished) from her checking account once it was deposited into her bank. I can not find any maximum percentage (such as the 10/25% for wages) that can be taken from a bank saving/checking account refference anywhere.Is there any legal recourse for this action? Shouldn't her bank be able to provide some documentation of the action? thanks!
    0 Votes

  • 35x35
    Jul, 2010
    Bill
    Your sister had her account levied, which in some states is called account garnishment. See the Bills.com resource Missouri Collection Laws to learn more.
    0 Votes

  • 35x35
    Jun, 2010
    Bill
    Knowledge is your friend and I have what may be good news for you. First, do not believe legal advice from collection agents. The information they tell debtors is usually incomplete or wrong and is always self-serving. Second, you mentioned California law so I will assume you are a California resident. See the Bills.com resource California Collection Laws to understand your rights and liabilities in California. Third, there is an element of truth in what the collection agent told you. In California, a collection agent can pursue a debtor for validated debt even if the statute of limitations has passed. However, this is a relatively rare event for common sense reasons. If a person has not paid a debt for many years, why should a collection agent waste time pursing them further? Fourth, regarding the 1099-C, see the Bills.com resource Mortgage Forgiveness Debt Relief Act to learn if you can avoid the tax liability you mentioned.
    0 Votes

  • 35x35
    Jun, 2010
    Wayne
    Where does it state that a credit card company can pursue an individual forever. CA Code Civil Proc - Part 2 Title 9 Division 2 Chaprt 5 Article 2 706.023 states that only one entity can pursue you at a time but I was told by a credit card company that they just wait in line and can pursue you forever. I saw on one of your posts it states there is a time limit. According to them there is no time limit. Second question: have you heard of anyone given the ability to explain their situation to a judge to determine that your financial situation was not due to mismanagement of funds but only due to situations beyond your control. Does anyone even care why you are where you are financially. If you tried to work out a financial arrangement, made numerous phone calls, contacted HUD, contacted your congressional representative, contacted the mortgage comapany loan modification and litigation department with no response, had numerous offers into the mortgage company to sell your home and they were to busy to process your offers, no one provided assistance, etc. I had a 750 credit score and was current on all my mortgage and credit card payments. I had to short sale due to neighbors vacating their properties and thereby destroying the home values. I got a 1099 from my 2nd mortgage and now I owe $150,000 in taxes. My credit card debt ran up because during the 2 years trying to sell the home I had too many months of no income and had to use the CC to pay rent and live. I had no control over any of this. Does any one listen to any of this or is it just - these are the rules, sorry for the inconvenience, and welcome to America.
    0 Votes

  • 35x35
    Jun, 2010
    Bill
    Maybe. Contact your county bar association and learn what organization in your area serves people with limited income. Make an appointment with the pro bono attorney group there, and bring all of your documentation regarding the garnishments to the meeting. They will be able to review all of the facts in your case, and give you a precise answer under Colorado law.
    0 Votes

  • 35x35
    Jun, 2010
    josh
    i live in coloardo, my check is gettin garnished two times ones childsupport and ones for something else and some loan place is telling me there going to garnished my check can they do that..
    0 Votes

  • 35x35
    Apr, 2010
    Bill
    Typically, fixed income payments such as unemployment, social security and retirement benefits are exempt from garnishment but be sure to check with an attorney in your state to verify your personal situation. Good luck Felicia. Bills.com
    0 Votes

  • 35x35
    Apr, 2010
    felicia
    i live in Colorado, i already have a garnishment of 25%.... durring the summer i have an attached job lay off which i collect unemployment, can my unemployment check be garnished?
    0 Votes

  • 35x35
    Feb, 2010
    Bill
    There is a way to dispute a garnishment order in California. See What is a Claim of Exemption for wage garnishment? and How do I file a Claim of Exemption for a wage garnishment?
    0 Votes

  • 35x35
    Feb, 2010
    Asinistra
    Due to a fatal communication between my wife and her lawyer, she ended up getting a default judgment issued against her in California Superior Court over an equipment lease. Without bogging down in the details of that, we've reached the point where the collection agency has just filed a motion to garnish my wages to pay the judgment since my wife does not have a regular salary. We've been told that we've lost all options for fighting the original judgment and have severed relations with the lawyer who helped us into the fix. But I do not want to go down on this score without having a day in court. So what are my options? Can I file a motion to counter theirs? Or will I get some say on the day of the hearing? Just so you know, I will not let this matter get to my employer, and will pay the full amount to avoid that. But I do not want to go down on this without a fight and am willing to take it as close to the edge as possible.
    0 Votes

  • 35x35
    Feb, 2010
    Bill
    The debt must be domesticated in Colorado. The judgment-creditor (your daughter) must hire an attorney in Colorado to file the New Jersey judgment in Colorado. At this point, your daughter may want to consider selling the debt to a collection agent.
    0 Votes

  • 35x35
    Feb, 2010
    sharon
    my daughter who resides in NJ has won a judgement against an ex boyfriend for $1700.00. she has now learned he resides and works in Colorado. how does she garnish is paycheck for the money owed.
    0 Votes

  • 35x35
    Jan, 2010
    Bill
    Terms in your message puzzle me and make it impossible for me to make useful observations. A co-signatory on a credit card has liability to repay the debt if the primary signatory fails to do so. However, an authorized user of a credit card has no such liability. I have no idea what liability a "third-party" has because that term is not used customarily in this context. If so ordered by a court, a creditor may levy a joint account. I have no idea what a "mutual" account is.
    0 Votes

  • 35x35
    Jan, 2010
    Lisa
    Hi Bill, I live in Arizona. Recently, my husband had a judgement to garnish non-earning from our bank account for a unsecured credit card debt. They have listed me as a third-party. However, the credit card was only listed in my husband's name and I have not signed any agreement to indebt me to this judgement. Does Arizona law allow them to garnish a mutual account? Also, if I am listed as a third party, does Arizona law allow them to garnish an account solely in my name?
    0 Votes

  • 35x35
    Jan, 2010
    Bill
    A creditor may not garnish the wages of a Pennsylvania resident. See State Consumer Protection Laws and Exemptions for details.
    0 Votes

  • 35x35
    Jan, 2010
    ricardo
    I live in Pensylvania, is it possible for a creditor to garnish my wages?
    0 Votes

  • 35x35
    Nov, 2009
    Bill
    I understand you want a more definitive answer on the garnishment issue, and I am not willing to say more than I have because your question is so specific. My answer would cross the line from being an observation on the law in general into the realm of legal advice, which I will not give you. If you are unable to afford an attorney, I suggest you contact your county bar association and learn what organization in your area serves people with limited income. Make an appointment with the pro bono attorney group there, and bring all of your documentation regarding the garnishment to the meeting. They will be able to review all of the facts in your case, and give you a precise answer.
    0 Votes

  • 35x35
    Nov, 2009
    Shane
    Hi Bill - thank you for your response! I was told by collectors that any loan in default is not possible to consider for that IBR. Which is how I even found out about loans going into default: I had called Sallie Mae to inquire about the IBR that I had read about. They forwarded me to their collectors and I was then told I had recently went into default. I'm not sure what or how to approach getting this all sorted. Im very limited financially. I have federal loans (subs and unsubs) for approx: $85K and private loans for $13K (which i was told yesterday on the phone that $13K is now $22K from 'collection fees'). Bill - Do you know if I could get these defaulted loans onto a reasonable payment program? Would trying to consolidate possibly work? I was told yesterday I could NOT consolidate until the accounts were out of default (by the collector). I just want to stop all these ridiculous fees from ballooning up and have direction on what I can do to stop the fees and start paying loans with payments that are reasonable for my income (Id really like the IBR plan). Also - one comment to your response Bill regarding your third point (USDept of labor: http://www.dol.gov/whd/regs/compliance/whdfs30.htm) If you scroll down to the 6th example of garnishment rules - it looks like they are saying that child support garnishment is considered first (up to 50%) - and then the difference between the support with holding and 25% of total gross is the limit of what federal student loan collections can obtain. Thanks again for your advice this site is awesome.
    0 Votes

  • 35x35
    Nov, 2009
    Bill
    First, if you have federal student loan be sure to review the new Income-Based Repayment (IBR) program, and see the IBR calculator at the Dept. of Education.

    Second, I recommend that you consult with an attorney in your state experienced in labor/employment issues, who will be able to advise you of your rights in your state.

    Third, as Fact Sheet #30: The Federal Wage Garnishment Law, Consumer Credit Protection Act's Title 3 (CCPA) says, each state is free to develop more restrictive garnishment rules than the federal government allows. However, state rules do not apply to federal garnishment, such as garnishment for taxes or federal student loans. The page you cited states, "The Higher Education Act authorizes the Department of Education's guaranty agencies to garnish up to 10% of disposable earnings to repay defaulted federal student loans. Such withholding is also subject to the provisions of the federal wage garnishment law, but not state garnishment laws."

    Fourth, garnishment rules are tricky and not always well understood by human resources and payroll people. If you believe your employer has withheld an improper amount from your pay, be sure to print the rules appropriate for your state and meet with the payroll person to resolve your concern.

    Finally, all of what I have written above assumes you have a federal student loan. If you have a private student loan, see Private Loan Collections.
    0 Votes

  • 35x35
    Nov, 2009
    Shane
    Hi Bill - this site has given me hope for breathing room. I'll try to make this brief - please feel free to edit post as you see fit: I just found out 9 of my 11 student loans are defaulting. I'm trying to figure out what to do to fix this mess. Here is my situation: I make approx: $35k/year, pay child support approx $600/month . Student loan sum is near 98K. Their monthly payment demands are impossible for me to do.

    One default creditor was really breathing down my neck trying to get me to agree to a $400 per paycheck "direct withdrawal" agreement otherwise "they'd garnish my wages an additional 25% of gross earnings". I was reading your postings and one of the links you gave was Fact Sheet #30: The Federal Wage Garnishment Law, Consumer Credit Protection Act's Title 3 (CCPA) the US Dept. of Labor.

    On that site - it is my understanding that child support garnishment will be taken first (rightfully so!) and then the difference of whatever 25% of my gross income is subtracting what they take for child support = the amount that can be garnished for student loans. Am I correct on this assumption?

    For example: Say I have $1600 gross every two weeks. Subtracting federal and state taxes - lets say i have then 1450 gross left. $1450* 25% = $362.50. If my Child support takes $300 every paycheck (two weeks) - am I correct to understand that student loan collections can only take the remaining $62.50? Rather than the threats of 25% in ADDITION to my child support? This has huge repercussions in my ability to live and support my current family. Thanks for any clarification. Great website!
    0 Votes

    • 35x35
      May, 2011
      Jenn
      Actually if you have a granishment for child support, it does not matter what percentage is being garnished. During the time that the child support is being garnished NOTHING else can go into effect. I know this because I am the payroll administrator at my company, and since state law wasn't clear on the issue, we had to go to Federal Law. You are in the clear on any other garnishments as long as you are under garnishment for child support.
      0 Votes

  • 35x35
    Nov, 2009
    Bill
    Unfortunately, you lost a great deal of leverage by not reaching a settlement with the creditor before the garnishment order was put into place. It is also unfortunate that you did not mention what state you reside in because each state has its own rules for garnishment. Contact your county bar association and ask for the name of the legal aid group that provides legal assistance to people in your area with no or low income. Make an appointment with an attorney or paralegal with that organization, and bring all of your letters, summons, and other documents relating to the debt and garnishment to your meeting. Then make yourself a promise to never allow a debt to go unresolved for so long so that you can avoid a garnishment in the future.
    0 Votes

  • 35x35
    Nov, 2009
    Sam
    I being garnished by a credit card company. I have pleaded with them to make arrangements, but they told me that's no longer an option. What can I do to lift this writ garnishment off. It's cutting into my living expense, I'm barely living paycheck to paycheck with 3 kids..Please help
    0 Votes

  • 35x35
    Oct, 2009
    Bill
    In general, California follows the federal restrictions on wage garnishments. Under federal law, a person can be garnished for 25% of their earnings, or "the amount by which his disposable earnings for that week exceed thirty times the Federal minimum hourly wage..." which ever is less. The federal minimum wage at this writing in October 2009 is $7.25 per hour. Therefore, the maximum that can be garnished is $217.50. However, there are many exceptions to the general rule. You can be garnished at greater than the federal maximum amount if the garnishment is for child support, school loans, or income taxes.
    0 Votes

  • 35x35
    Oct, 2009
    Sam
    I live in california and am currently getting garnished for child support for a little more over 25% of my net earnings. Employment Development Department just sent a judgment for a 25% garnishment to my net pay in addition to my child support. Can they take an additional 25% of my pay?
    0 Votes

  • 35x35
    Oct, 2009
    Bill
    Generally speaking, a unemployment or disability payments cannot be garnished unless the garnishment is for child support. According to the Department of Education Web page Facing Loan Default, "Once a loan is declared in default, you are no longer entitled to any deferments or forbearances." However, if you are not in default, the Dept of Education offers a number of deferments. See the Department's "Deferment Forms" and specifically the "Deferment Requirements for Unemployment."
    0 Votes

  • 35x35
    Oct, 2009
    Amanda
    i live in California and i have defaulted on mu student loan, im about to be laid off in 3 weeks. My questions, can the collection agency garnish mu unemployment check?
    0 Votes

  • 35x35
    Sep, 2009
    Bill
    You are asking a legal opinion, which I cannot give you. I suggest you read 15 U.S.C 1671, specifically § 303 a(2)(A) "Restriction on garnishment." If the answer is not clear to you and your supervisor, I suggest you contact an attorney in your state who specializes in labor law.
    0 Votes

  • 35x35
    Sep, 2009
    Cassie
    I work in payroll and my boss and i have a difference of opinion on calculating garnishment for one of our employees, can u help? the employee has a child support order of a set dollar amount as well as has been served with a continuing garnishment to a creditor. This employee's earnings are always enough to exceed the federal minimum of earnings. My question is do i withhold only a total of 25% or do i withold the set dollar amt. for child support and 25% for the continuing garnishment? thanks in advance for your help...
    0 Votes

  • 35x35
    Sep, 2009
    Bill
    The way I read the Consumer Credit Protection Act (CCPA) Wage garnishment rules, there is no prohibition against garnishments from more than one employer.
    0 Votes

  • 35x35
    Sep, 2009
    Arthur
    I live in California and have just been served with a garnishment on my child support order for my second employer. Can they garnish from both?
    0 Votes

  • 35x35
    Aug, 2009
    Bill
    Garnishment laws vary by jurisdiction. See the BCS Alliance Web site for state-by-state rules on garnishment.
    0 Votes

  • 35x35
    Aug, 2009
    leeman44004
    I pay child support payments bi-monthly of close to %25 now my divorce attorney is trying to garnish my wages can he and if so how much ?
    0 Votes

  • 35x35
    Aug, 2009
    Bill
    Thank you for your reply. Unfortunately, my earlier post was wrong. Garnishment is much more complicated than I had previously understood and expressed. Wage garnishment is controlled by both state and federal law. The US Department of Labor offers a summary of the Consumer Credit Protection Act (CCPA), which discuss US laws regarding garnishment. Unfortunately, the US Dept of Labor Web sites do not discuss Administrative Wage Garnishment a tool used by the US Department of Education. The BCS Alliance offers a page detailing state laws. To your question, yes, the Dept of Education has the ability to garnish your wages if there is another garnishment in place.
    1 Votes

  • 35x35
    Aug, 2009
    Chris
    Thanks for the quick reply on the previous post. According to what you stated, I can only have one wage garnishment at a time. Is that correct? The reason I ask is because as I stated, the dept of edu is currently garnishing my wages. Another garnishment for a hospital bill is currently being taken from my paycheck also. Is that ok or should the other not be in effect until the first garnishment order is satisfied? and if so/if not, what should I do?
    0 Votes

  • 35x35
    Aug, 2009
    Bill
    Absolutely not. First, you can only have one wage garnishment at a time. Second, the moment that the department of education sold the debt, its garnishment order expired.
    0 Votes

  • 35x35
    Aug, 2009
    Chris
    I live in Missouri. I am already being garnished by the dept of education for a student loan, and have been for the past year. Today, I received a call from the collection agency the loan was sold to. They are planning to send an order to garnish my wages. Can I be garnished by two seperate entities for the same debt?
    0 Votes

  • 35x35
    Aug, 2009
    Bill
    Generally speaking, only one creditor at a time can garnish your wages. In New York, 90% of your gross income is exempt from garnishment. Under federal law you may not be fired for one garnishment. However, you have no protection for multiple garnishments.
    0 Votes

  • 35x35
    Aug, 2009
    Robert
    I live in NY state. I have several medical bills that have gone to default and have received 2 separate garnishment notices within a week. Can they Take funds from my Paycheck at the same time or do they have to wait in order. Also does NY state allow a company to fire an employee for excessive debt?
    0 Votes

  • 35x35
    May, 2009
    Brandon
    That sure is my understanding, with the exception of things like alimony or child support. But if they are unsecured creditors then they have to get in line, they cannot all simultaneously garnish you for the maximum or there'd be nothing left. Why don't you talk to an attorney or look into bankruptcy?
    0 Votes

  • 35x35
    May, 2009
    Eric
    I live in wisconsin and have had one garnishment against me. It is substantial (250K). I just want to clarify one point. If I allow that creditor to garnish the maximum...does everyone else have to wait until that debt is paid off before they can garnish? Thanks
    0 Votes

  • 35x35
    Apr, 2009
    John
    Generally speaking, unemployment benefits cannot be garnished to pay a regular judgment creditor, so if your debt is just regular consumer debt, such as credit cards, personal loans, etc., then you likely have little reason to be concerned. If you owe back child support or some other priority obligation, it is possible that your unemployment could be garnished, but since unemployment benefits are usually not very large, it would surprise me if they could garnish much. If you do owe a debt that can garnish you unemployment benefits, there will be a limit to how much can be garnished which varies from state to state. If you think that your unemployment benefits may be garnished, you should contact the state agency which manages your benefits to inquire about the amount of your benefit that can be garnished. Again, only a very small set of priority obligations are usually able to garnish unemployment benefits, so it is unlikely that your benefits can be garnished by any amount.
    0 Votes

  • 35x35
    Apr, 2009
    donna
    When recieving unemployment can two debts be garnished at a time?
    0 Votes

  • 35x35
    Apr, 2009
    Gurukar
    I don't know how that is possible, SC law states that 100% of your wages are protected from garnishment. See here: State Collection Laws.
    1 Votes

  • 35x35
    Apr, 2009
    tina
    I just found out that I have 3 seperate companies that have seperate student loans which are in default. I literally got 3 letters, each company stating they will be garnishing 15% of my paycheck each time i gt paid. 1 for $5,700; 1 for $21,000 and 1 for $8,000. Does that mean that 45% of my disposable income will be taken out each pay period? I live in the state of South carolina.
    0 Votes

  • 35x35
    Mar, 2009
    Bill
    Fixed income such as retirement funds cannot be garnished in general. You can look up your state laws here: http://www.bills.com/. make sure that you appear in court, otherwise the creditors will end up winning the case as s default judgment will be passed against you.
    0 Votes

  • 35x35
    Mar, 2009
    pat
    can my retirement check from the state of arizona be gar nished.im retired .head of household, and take care of a 60 yr old brother, who is almost blind, as well as a 46 yr old son who has seizures, and cannot work.i recieved a civil summons from a very deflated credit card debt, and have to answer tommorrow at justice court.i have to pay a filing fee and have the
    0 Votes

  • 35x35
    Mar, 2009
    Bill
    As per the NC Department of Labor (http://www.nclabor.com/wh/fact%20sheets/garnishments.htm): "Under North Carolina law, an employer may be ordered to withhold wages from an employee and pay them to a creditor for the following types of debts: taxes, student loans, child support, alimony, and payment of ambulance services in certain North Carolina counties. However, the courts of North Carolina are not permitted to order an employer to withhold wages for other types of debts such as car loans, credit card debt, and other personal debt items. While the North Carolina courts are not permitted to garnish wages based on these debts, creditors in other states may be able to get an order of garnishment under their own states’ laws."
    0 Votes

    • 35x35
      Feb, 2011
      Pam
      If a I have a court issued wage garnishment against me for unsecured credit card debt and I live in Illinois here it's allow, but now I am moving to North Caroline, can they still garnish my wages,since North Carolina doesn't allow it for this type of debt.
      0 Votes

    • 35x35
      Feb, 2011
      Bill
      The Illinois judgment-creditor would need to domesticate its Illinois judgment in North Carolina. The North Carolina court probably will domesticate the judgment, but will not allow a wage garnishment. It is illegal for North Carolina court that is applying North Carolina law to issue a wage garnishment order for a judgment debt. (However, administrative and child support wage garnishments are not prohibited in North Carolina.) You do not mention if you are changing employers. If you are not, your employer's payroll department may need to receive a gentle reminder from a North Carolina lawyer explaining North Carolina garnishment law.
      1 Votes

  • 35x35
    Mar, 2009
    jason
    I live in North Carolina, is it possible for a creditor to garnish my wages?
    0 Votes

  • 35x35
    Mar, 2009
    Bill
    You should probably go and talk to an attorney and see if you can get the garnishment lifted or the levy released.
    0 Votes

  • 35x35
    Mar, 2009
    Alex
    so essentially the creditors are allowed to double dip into my pay in order to satisfy the debts, instead of waiting to do the garnishments one at a time? That sounds mighty illegal IMHO.
    0 Votes

  • 35x35
    Mar, 2009
    Bill
    Sorry Alex but the second issue that you raise is actually a levy of your bank account. They have filed for both a wage garnishment and a levy of your bank account. Since it has clearly been granted, just about every time that you put funds into your bank they can freeze them and take them until the debt is satisfied. You should probably talk to a bankruptcy attorney and start using your mattress to bank for a bit. Sorry to hear about your situation, but hang in there Alex.
    0 Votes

  • 35x35
    Mar, 2009
    Alex
    I have been garnished by a collector out of Omaha for 25% of my wages, now I received a garnishment notice saying they are going to garnish my bank account, for a different debt. But the same company is applying these two garnishments, hell I don't even have more than 200 or 300 hundred bucks at at time- would this be illegal in Nebraska or even under federal law, due to them taking 25% for one garnishment then garnishing my left over wages that are directly deposited? Please help me understand this better... thanks!
    0 Votes

  • 35x35
    Feb, 2009
    sheila
    i have not paid my overdue credit cards for almost 3 years...i still get some calls and received one notice to appear in court in novemember 2008 but did not appear as i cannot pay......what do you think will happen now.. i owe about 20 thousand and have no way to pay...
    0 Votes

  • 35x35
    Feb, 2009
    Bill
    Ignoring the court appearance notice was a bad idea. As you did not appear in court to present your side of the story, the court will pass a default judgment against you in favor of the credit card company. Now, depending on your state laws, your wages might be garnished. You can check the state laws here: http://www.bills.com/collection-laws/. It would be good idea to get help from an attorney.
    0 Votes

  • 35x35
    Feb, 2009
    Bill
    The amount of your wages that can be garnished depends on your state's law. To learn more about Iowa, see the Bills.com resource Iowa Collection Laws.
    0 Votes

  • 35x35
    Feb, 2009
    Dereke
    my check is being garnished in Council Bluffs Ia, for a repo. on a car, how much can they take a year from me and do they have to give me recovery time to get caught up?
    2 Votes

  • 35x35
    Jan, 2009
    Bill
    There are limits on the percentage of your wage that can be garnished. It depends on your state laws, check here: http://www.bills.com/. You have to be served papers to appear in court even before the garnishments are awarded to the creditor, but once the creditor is successful in getting a garnishment judgment against you it is not necessary that you are notified. Even when serving papers, the creditors will go by the last address they have from you, it is your responsibility to keep your address updated with them.
    0 Votes

  • 35x35
    Jan, 2009
    Brooke
    can one creditor garnish your wages for 25% and at the same time another creditor garnish your bank account for all the money you have in there? do you have to be personally served with court garnishment papers? what if you don't get the garnishment papers and don't know that they are going to garnish?
    0 Votes

  • 35x35
    Jan, 2009
    Bill
    No, there is a limit to what percentage of your income can be garnished, based on your state laws. Check on http://www.bills.com/collection-laws/
    0 Votes

  • 35x35
    Jan, 2009
    frank
    if there garnishing me 50 percent for child support can another garnish me an extra 20 percent
    2 Votes

  • 35x35
    Jan, 2009
    Bill
    You could potentially file a motion to set aside the default judgment that was entered against you for failing to appear. Basically, the rep tricked you into not showing up; if you file a motion with the court to that effect, the judge may be willing to give you an opportunity to make your case. Hopefully that will work. In a worst case scenario, you may be able to file for bankruptcy protection, depending on your situation, which could stop the garnishment. Either way, though, you will probably want to at least consult with an attorney. I would recommend hiring one to represent you. I know it’s expensive, but that would give you the greatest chance of prevailing.
    0 Votes

  • 35x35
    Jan, 2009
    Dawn
    I was served papers for a garnishment, went to court and asked Resurgence (the collection company used) to produce what credit card they were talking about and a document with my signature on it that I in fact took out that credit card. They could not, the judge said since they did not have the information he set a different court date-the rep from resurgence said on numerous occassions that they would prob not have the info by May 13-the 2nd court date, and said I did not need to attend court that day-stupid me-he said he would let me know when he could produce the info I requested. Well, apparently he did go to court on May 13th, don't know if he actually did have the documents and now my wages are being garnished to the tune of 15% of my salary. Do I have any recourse at all??? I cannot afford an attorney. I know I was naive now that I believed him but I can barely live now.
    3 Votes

  • 35x35
    Dec, 2008
    Bill
    If he received innocent spouse release from a court, then it is unlikely that he would have any liability from your historical IRS debts. You should seek advice from a qualified IRS Debt Relief firm, and I would recommend Freedom Tax Relief at: Freedom Tax Relief
    0 Votes

  • 35x35
    Dec, 2008
    Marilyn
    I live in Wisconsin and due to a felony conviction, my husband & I were divorced. I have Tax liabities, both federal and state, and other liabilities. He filed bankruptcy and also received innocent spouse status. If we remarry, can he be held responsible for these debts?
    0 Votes

  • 35x35
    Sep, 2008
    Bill
    Whether you get fired because of this garnishment depends on your company's internal policy. You should find this out through the HR person in your office. Under federal law, you may not be terminated for one garnishment. The federal law is silent regarding more than one, although some states protect residents who have more than one garnishment.
    0 Votes

  • 35x35
    Sep, 2008
    Marie
    I live in NJ and just received word of a garnishment and know of one more on the way, can I be fired? How do I find out?
    0 Votes

  • 35x35
    Aug, 2008
    Bill
    The first thing I suggest you do is open a seperate bank account for you Mom to cash her social security checks. Social security income and child support payments are usually protected from garnishments and I am not sure how the company managed to take out everything in your account. You definitely need to contact an attorney to see what your options are. Bankruptcy may protect you from this, but I just don't know enough about your situation, nor am I an attorney, so plese do contact one immediately.
    0 Votes

  • 35x35
    Aug, 2008
    lisa
    my bank accounts, even my daughter's and my mother's, all linked to me at same bank, were garnished while i was in litigation following divorce, for a property settlement agreement. they wiped up clean, no percent recognized, zero balance, mine had just been funded with child support checks x 5 for back pay, and my mom's social security. that was last year, i've tried to seek help. the collector is attorney, now send letter to me for again over $14,000.00 in garnishment!. where should i seek help, or am i just out of luck/? thank you.
    0 Votes

  • 35x35
    May, 2008
    mary
    I live in Wisconsin and have a garnishment of wagesfor a debt owed to Wisconsin Dept of Revenue (prior to my marriage and we have a premarital agreement so that it is solely my debt) My question is this: Since I have a garnishment, can a third party debt collector issue a garnishment for a debt my husband owes?
    2 Votes

  • 35x35
    May, 2008
    Bill
    Because you live in a community property state, the creditor could possibly sue both you and your husband, under the theory that this debt was incurred as a community debt. Also, if you were a co-signor on your husband's account, you may be legally liable for the debt. As far as the garnishments go, the creditor in question will first have to obtain a judgment for garnishment in order to start garnishing your wages. There are limits on the amount of wages that can be garnished. Typically, 20% of a debtor's net earnings after withholding taxes and Social Security can be taken by a creditor. A debtor does have the right to assert various exemptions to the garnishment, including income below the Federal Poverty Guidelines, eligibility to receive foods stamps or medical assistance, or court-ordered assignments of child support that exceed 25% of the debtor's wages. Therefore, if your previous garnishment has already reached 20% then the other creditor would have to wait till the earlier garnishment is satisfied before they can enforce their judgment on you.
    0 Votes