Wage garnishments are one of the common reasons individuals decide to file bankruptcy. Wage garnishment is a process where a portion of your wages are withheld by your employer to pay off your debts. Wage garnishments can occur for different reasons such as unpaid debts like credit cards, personal loans, or child support.
Wage garnishments can be incredibly frustrating and debilitating financially. Creditors can generally garnish up to 25 percent of your disposable earnings. Wage garnishments make it very difficult to pay rent, buy groceries, and cover necessary living expenses. For those facing garnishment it is important to take action quickly. A bankruptcy attorney can help you understand your options.
The good news is filing for bankruptcy can provide immediate relief. Filing a chapter 7 or a chapter 13 bankruptcy can immediately stop a wage garnishment. As soon as your bankruptcy is filed the automatic stay goes into effect. The automatic stay prevents your creditors from taking any further collection action against you.
You can potentially get garnished wages back. Bankruptcy not only stops wage garnishment, it could also help you recover wages that were already taken. If you have had $625 or more garnished within the 90 days prior to filing your bankruptcy, you may be able to get that money back. Filing bankruptcy can provide you with a fresh start. Filing bankruptcy provides you the ability to stop a garnishment and recover wages, giving you access to funds that can help you going forward.
CALL NOW FOR A FREE STRATEGY SESSION FROM AN MN BANKRUPTCY LAWYER AT LIFEBACK LAW FIRM
Bankruptcy is a helpful tool to help you get your life back! If you have questions about wage garnishment and bankruptcy and would like to do a free consultation to go over your options, visit www.lifebacklaw.com to speak with an attorney. You will be glad you did!
