Is wage garnishment for debt repayment legal?

If you have been receiving reduced pay when you get your pay check, you may notice that certain fees have been taken out of your pay check by debt collection companies. You may be shocked by this and wonder whether it is even a legal practice.

Unfortunately, wage garnishment is a legal process in most cases and is generally a last resort in the debt collection process. It can be a devastating thing to have happen to you, because it means that you have even less control of your income.

Can wage garnishment be used for credit card debts?

When you have not been paying the interest for a credit card, after persistent attempts at collecting the debts, the credit card company will decide to sell off those debts onto a debt collection agency. This third party will then start to contact you regarding the retrieval of the debt.

If this attempt to communicate with you fails, a lawsuit might be filed by the collection agency. If the courts rule that wage garnishment is the only viable option for repayment, then this is how the funds for the debt will be obtained from you.

What should a person do if they are struggling as a result of wage garnishment?

If a person is struggling due to creditor wage garnishment, they may be able to make an appeal. The courts will consider the case if the person is no longer able to earn enough income to support themselves or their family. That person might also want to consider bankruptcy.

If you are struggling as a result if wage garnishment, you should look into all of the options available to you so that you can regain your financial freedom.

Source: Credit Cards, “Wage garnishment for credit card debt,” accessed Feb. 09, 2018