We go to court on Monday. Can they get into our bank accounts, and/or garnish husbands wages? And if so is it right away after court hearing? I mean should I close bank account before going to court.
Thanks
Quick House Sale
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If they win a judgment, and they probably will, the creditor can attach your bank account, garnish your wages, and lien your property. Make payment arrangements with them while your at the courthouse.
I work for a payroll company and I know that they can garnish wages for court costs and liens, etc.
Yes they can, if they get a judgment against you allowing them to garnishee your wages .
The Vehicle repossession are only entitled to the judgment amount and no more.
You are far better off making a deal with them on how much you owe them, and also the payments you can afford.
The new credit laws in America do not absolve you ever from re paying the amount you owe a creditor, in other words the principal you owe will accumulate interest. My advice , make a deal to repay
First find out how much your car was sold for at auction and if that was deducted from what you owe on the loan. Otherwise you are going to pay for a repo’d car TWICE.
But to answer your question, yes your wages and bank accounts can get attached. Once they do if you close the bank account then you are in contempt of court and a judge just might huck your little butt into a jail cell.
This is going to trash your credit too. It’s too bad really. A lot of people are falling on hard times financially and having these sorts of things happen and creditors don’t care. THEY are falling on hard times too and want your money to stay in business. This can be a bargaining chip to 1) get the SOB’s paid and 2) get your credit cleaned up.
But creditors and even more so the credit bureaus are faceless ogre’s who like to kick a person when they are down.
Anyway, since your court date is so close you don’t have many options at this point. However, once the damage is done there is hope and you will get past this. I would go to debtorboards.com and ask the good folks there what you can do to make this as painless as possible. The information there is free.
Good luck!!
If they win, depending on how much you owe, they will most likely garnish wages. But not right away. They give you a certain amount of time after the judgement( usually a month or two) to pay or make some kind of payment arrangement. If you don’t, they will garnish your wages. As for your bank accounts, it’s highly unlikely. But just to be safe, I would move most of your money somewhere else until the heat dies down.
Not all states allow garnishment of wages for this type of debt. Most likely the court will order a payment schedule that fits within your budget and is agreeable to the creditor.
A writ of garnishment is one method a creditor might use to recover unpaid debt. Federal law exempts from garnishment 75% of disposable earnings per week, or an amount up to thirty times the federal minimum hourly wage (currently $5.15), whichever is greater. Some states still have wage garnishment laws in place; however, when the federal law provides a larger exemption than the state law, the federal law supersedes the state law.
remember this, they can only sue for the ballance owed once the profits from an auction sale have been deducted.
Hope this helps.
LEGAL DISCLAIMER: The advice contained herein is for informational purposes only. It is not to be construed as Legal Counsel nor Legal Advice.
Closing the bank account might be considered concealing assets and be a crime in your state. What does your attorney say?
I am really sorry to hear about this. I recently had my vehicle repossessed, and i did manage to have the bank surrender my vehicle back through a chapter 13 bankrupty. To answer your question, yes they can garnish your salary and get permission to enter your bank account. It’s really a bad situation, (depending on if they win their case of course). Have you considered talking to a bankruptcy attorney about this? I have no clue how much debt you owe in total, however bankruptcy may sound like an option for you. I did chapter 13 bankruptcy, 13 is where you make a monthly payment to a court for 3 or 5 years, then you owe no money to your creditors and your credit will be fixed. A chapter 7 is where you can discharge all of your debt, you will no longer be obligated to pay your debts back. If the bank does win their judgment in your court hearing, and you are ordered for garnishments, im 99.9% positive a bankruptcy will stop the garnishments. If your interested find a bankruptcy attorney in your area, set up a free consultation, and he or she will have more information and will be able to help you with all your questions. Cost will run you around a thousand bucks. Better then having your salary garnished in my opinion. Goodluck to you and your family!