Filing A Personal Bankruptcy Can Stop A Wage Garnishment And Can Release Bank Levy

Did you know that filing a personal bankruptcy can stop a wage garnishment and in some circumstance can release a bank levy?  Many times people cannot face dealing with their financial situation until their creditor takes drastic measures.  By the time a creditor sues a debtor, the debtor may not recognize the creditor because it is usually a collection company who is suing the debtor.  Once a judgement is entered, the creditor will attempt to execute on the judgment by garnishing a person pay check or placing a levy on the debtor’s bank account.  However, filing a bankruptcy will stop the creditor in its tracks because of something called the automatic stay.  I like to explain to my clients that the automatic stay is an invisible shield that comes down around them when filing for bankruptcy.  Garnishments stop upon filing.  If by chance the garnishment continues for a period of time after filing, the debtor will receive that money back.  Filing a bankruptcy before your financial situation gets to this point of a garnishment will make your life easier.  Explore your options and consider filing bankruptcy if you have debt you are unable to repay.

Comments are closed.

FREE Consultation

Your Name (required)

Your Email (required)

Your Tel # (required)

Subject

Your Message

captcha

Member:

 
Member:

Click for the BBB Business Review of this Attorneys & Lawyers - Bankruptcy in Hackensack NJ