Once a creditor files a lawsuit and gets the court to enter a judgment against a person for they can then take action against that person to collect on the judgment. One of the ways a creditor can collect on their judgment is by garnishing the person’s wages. In Minnesota, a creditor may garnish up to 25% of a person’s net pay (the money they actually take home after deductions, like taxes, are taken out of their paycheck). This can cause a significant hardship to that person’s financial circumstances, especially if a person is already struggling to make ends meet and is living paycheck to paycheck.
