Your Potential Remedies for Bank Levies and Wage Garnishment
Either of these collection efforts can be financially crippling. Once the sheriff seizes funds from your bank or your employer receives notice to garnish your wages, the clock is ticking for you to take action. There are mechanisms in place to reduce the levy or garnishment.
The Court will permit you to file a claim of exemption to either reduce or eliminate the financial hit you have taken on a bank levy or wage garnishment. For instance, on a bank levy, you can claim an exemption of up to 75% of income from employment earned within the 30 days prior to the bank levy. If you can prove that the money seized by the sheriff is from income received within the last 30 days, the Court can order the sheriff to refund that 75% to you. The idea here is that the Courts don’t want to bankrupt you to satisfy the debt. They recognized that there are certain necessities of life and the Court will not deprive you of that. But you must take action within the timeframe permitted by law. Typically the same applies on a wage garnishment. If you can prove to the Court that your wages are needed for the basic necessities of life, your garnishment can be reduced or eliminated.
The key is not to wait too long to fight back. If you miss your deadlines to oppose a garnishment or levy, that money held by the sheriff is gone and you’ll never get it back. But, by taking swift action you can reduce or eliminate these judgment collection efforts. Recently debt relief attorney Daniel Gamez helped a client get back 75% of a paycheck after the bank levied on their account on a payday. They originally thought that money was lost forever. I’m just glad they took quick action to retain me so I could fight for them.