In my Atlanta area bankruptcy practice I sometimes get calls from a very anxious man or woman who tells me that their payroll office has received a wage garnishment order but the employee has no idea why or where it came from. What should they do? Here is how I would approach this problem.
First, understand that you have to move quickly. If your employer receives an order of continuing wage garnishment, they have to honor it within 45 days – here is what the summons looks like.
If your employer does not honor the garnishment and withhold wages, your employer can be “punished” for not obeying the order by having the entire judgment held against the employer. debt. Needless to say, your employer does not want to get stuck paying your debts.
Who is the Plaintiff?
Your first step should be to find out who the plaintiff (creditor) is in your case and the basis of their claim. If the holder of the garnishment order is a student loan creditor or a taxing authority, different rules apply and you need to speak to a lawyer immediately.
If the claim is from a collection agency, there is a good chance that this debt has been sold multiple times by creditors and collection agencies so you may not recognize the name of the collection agency.
For example, if you owe a debt to Chase Bank for a credit card, Chase may have sold that debt to Allied Systems, who may have sold it to LVNV or some other agency. Do not assume that the claim is bogus simply because you do not recognize the name of the plaintiff. [Read more…] about What Should You Do About a Surprise Wage Garnishment?
