I have a car that has been repossessed. They say that i owe the remaining balance of $8,000. I lost my job. They say they can garnish my wages and I am retired from the military. They say they can take my military check. Is this true?
Generally speaking, VA benefits and military pensions are not subject to execution, levy, attachment, garnishment, or other legal process. However, there are exceptions for child support and support of divorced spouses.
Active military and other federal employees are subject to garnishment for what the federal government calls "commercial debt." However, I can find no laws that allow garnishment of military pensions or VA benefits, aside from the IRS authority to do so.
Direct-deposit your pension benefits into a separate account that contains funds from no other sources. Ask your bank or credit union to place a notation on that account stating the funds in that account are pension benefits not subject to attachment.
See the Bills.com resource Military Debt Consolidation to learn how to resolve debt if you are an active service member.
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