What is wage garnishment and how can you avoid it?

Have you ever received your paycheck and been confused by the low amount, wondering why there have already been deductions by debt collectors before you got to receive the money? This type of wage deduction is known as wage garnishment, and it means that debt collectors have successfully managed to take their owed money directly from your paycheck.

If you have been subject to this, then it means that you have likely avoided paying the debts you owed for a long time. By this point, you have likely already seen a drop in your credit score. But now you have less control of the money that you receive from your job as well. The good news is that you do have legal rights that protect you from unfair wage garnishment.

What can I do about wage garnishment

The law protects debtors from wage garnishment in several ways. Firstly, wage garnishment is often the very last resort that a debt collector can take. You will be legally notified about the garnishment and the fact that it will take place. If this legal notice contains incorrect information about the reality of your debts, you have the legal right to file a dispute. There are also some forms of income that can never be used for the purposes of wage garnishment. These include Social Security and benefits as a veteran. However, garnishment can also take place through bank account deduction, therefore these funds can become vulnerable once they are in your bank account.

If you believe that you have been subject to unfair wage garnishment or you would like to take action to prevent future deductions, it is advisable to contact a trusted legal advisor.

Source: Nerd wallet, “Wage garnishment,” SEAN PYLES, accessed Sep. 15, 2017