Exempted $ and Garnishments?

[Freddy03]

Does vacating the judgment remove it from the credit reports? I'm going to file the paperwork from what I've been told it's usually a 50/50 shot of it getting vacated.

[tobee43]

The garnishment has stopped already (last paycheck it wasn't taken out). My concern is getting the money taken prior to filing (we did exempt it) and the 2 paychecks it was taken out after we filed. My attorney never mentioned any fee. He stated before we filed he would get the money back. He's an up front kind of guy so I'm not worried about him sticking me with a fee afterwards.


And Tobee - I will def vacate the judgment(s) after discharge. I already have my paperwork filed out

freddy i'm glad!! and i know you are in the "ready" mode i'm counting the days for you

iamold, yes one would like to think the federal notification would be sufficient, but the problem is, with a judgment, it's usually done on the local and or state level and not the federal (unless it was the irs those bad people!!!

[tobee43]

Does vacating the judgment remove it from the credit reports? I'm going to file the paperwork from what I've been told it's usually a 50/50 shot of it getting vacated.

yes, it does!....nope it's usually 1000% of getting it removed after your discharge and close and as long as, and provided, it was NOT listed as a "secured" debt!

after your discharge none of those creditors other than those that are secured are can attempt to collect...especially, if you listed the judgment which lead to the garnish of the wages. (there was a place on the petition to list it and docket number).

[tobee43]

Just wanted to chime in here since we had this same issue. First, *if* the judgment impairs exempt property (ie: you have a house and you claimed the homestead exepmtion) you can file a motion to strip the lien through the BK courts. If it doesn't, and ours didn't, than you can file a motion to vacate through the issuing court but I *think* there is a time rule, can't remember what it is. After thinking long and hard about it, we decided to let ours stand. The judgment can no longer be collected, can't attach to property acquired after the BK, and is actually listed as satisfied on the credit report through BK discharge.

I do want to add that I'm a fanatic about keeping paper trails, so if you decide to go the easy route, like me, lol, make sure you keep copies of everything showing that debt was discharged in a bk. And of course, talk to your attorney since each situation is different.

SG

Also wanted to add that it cannot be re-recorded in the public records, which extends the time to collect.

so GOOD to c U SG!!!! and you're wisdom! thanks so much for that info, it's so helpful

[DesdemonaB]

garnishments vary from state to state. i assure you.
my point exactly

once the garnishment stops you still need to deal with the actual order of the judgment. additionally, one cannot arbitrarily call one's payroll dept. when they have been issued an order to take out the funds, until they receive something from ( and maybe in one state it could be directly from the court, or another from atty to atty (doubtful)). however, in most normal circumstances, as you have pointed out, it comes from the court itself, thus, just simply a call from YOU or the person being garnish is, under most circumstances, not enough to stop the process. normally, paper work is involved.

in MI you may have different ways...in North Carolina creditors can't even garnish your wages along with a few other states like PA...so it all varies from state to state. here in Florida they can take up to 25%. as well, in florida judgments and wage garnishments function as powerful tools used by creditors to seize your money. when you file your bankruptcy case, your creditors are powerless to take any action and they lose their right to seize your wages. when one files a bankruptcy at any point in the pre-judgment or judgment process to put an end to creditor action. but it does not clear or satifisy the judgment.

addionally, and once again, this is pertaining to florida...wages of the head of a family are exempt from garnishment unless the person's net wages are more than $500 per week and the person has agreed in writing to allow wages to be taken to pay the debt. a head of family includes all persons who reside in florida and who provide more than one-half of the support for a child or other dependent. wages in a bank account that belong to a head of family retain their protection from being seized for six months even if the wages are mixed with money from other sources. if a head of family had not agreed in writing to allow the garnishment or attachment of wages, all the wages are exempt. You must file an affidavit with the court to declare your head of family status and protect your wages from being taken.

persons who do not qualify as head of family will still have the protection of federal law which limits the amount of wages that can be garnished. if you take home less than 30 times the minimum wage per week, all of your wages are exempt. otherwise, a judgment creditor can obtain 25 percent of your net wages under a continuing writ of garnishment until the judgment is paid in full.

and that's just referring to florida ...then end

Tobee – I did, per my WoG; the payroll department email me a copy of the writ, told me what pay period it will start and ask if I had any questions. When I received the garnishment release, I scanned it and sent it back to my payroll department and asked if they received it, and how do I get the funds that were taken out prior to 11.12 back? They said they haven’t receive it, two days late she replied back and said they received it and she will start the process for the refund(s). It was simple, when I was replying back to Freddy, it was regarding the refund/return of funds garnished after the BK petition – not stopping the garnishment itself.

No one can stopped me from calling, emailing, walking (well maybe walking as they are in New York and I’m in Michigan) down the hall to the payroll department and asking about how to get the funds returned to me. There are only two outcomes – they still had the funds held in escrow or they sent them to the plaintiff. I lucked out they were held in escrow if they weren’t, I at least knew where they were.

Oh and in Michigan it’s 25% of your wages, PLUS they can take your state tax refund the only state in the union to do that. It took me 6 weeks to get my refund because unless the state receives the garnishment release by 10.1 they hold the refund and it’s up to the tax payer to “release” it, which means calling and faxing.

[tobee43]

Tobee – I did, per my WoG; the payroll department email me a copy of the writ, told me what pay period it will start and ask if I had any questions. When I received the garnishment release, I scanned it and sent it back to my payroll department and asked if they received it, and how do I get the funds that were taken out prior to 11.12 back? They said they haven’t receive it, two days late she replied back and said they received it and she will start the process for the refund(s). It was simple, when I was replying back to Freddy, it was regarding the refund/return of funds garnished after the BK petition – not stopping the garnishment itself.

No one can stopped me from calling, emailing, walking (well maybe walking as they are in New York and I’m in Michigan) down the hall to the payroll department and asking about how to get the funds returned to me. There are only two outcomes – they still had the funds held in escrow or they sent them to the plaintiff. I lucked out they were held in escrow if they weren’t, I at least knew where they were.

Oh and in Michigan it’s 25% of your wages, PLUS they can take your state tax refund the only state in the union to do that. It took me 6 weeks to get my refund because unless the state receives the garnishment release by 10.1 they hold the refund and it’s up to the tax payer to “release” it, which means calling and faxing.

you were pro se, so of course it doesn't stop you or anyone for that matter to inquire about when you'll get your money back. you miss my point, ( which is ONLY what was saying) i'm just trying to say you need that garnishment release order from the court, to be able to substantiate your position and to force the stopping of the garnish. additionally, the money is usually no longer in payroll, but not need to be returned by the creditor, which is a PAIN to get back, but with persistence i'm sure you, as well, as anyone, after the order is issued is entitled to receive. again, my point is you need that darn piece of paper to be really effective in accomplishing the goal here.

[Freddy03]

I have the garnishment release from the courts. Dh's employer received it and the garnishment has stopped.


I think I'm not getting my point across...lol

What I am concerned about is the money that was taken out 3 pay periods prior to us filing and the 2 pay periods after the filing. My attorney exempted the 3 weeks prior - I'm just not sure when/how I get that money back.

DH will NOT be contacting his HR/Payroll dept on his own b/c even having the judgment could ruffle some feathers - if you know what I mean.

[tobee43]

I have the garnishment release from the courts. Dh's employer received it and the garnishment has stopped.


I think I'm not getting my point across...lol

What I am concerned about is the money that was taken out 3 pay periods prior to us filing and the 2 pay periods after the filing. My attorney exempted the 3 weeks prior - I'm just not sure when/how I get that money back.

DH will NOT be contacting his HR/Payroll dept on his own b/c even having the judgment could ruffle some feathers - if you know what I mean.

i got that...(even tho it all got lost in the post in minuchau...sorry )

the creditor MUST give you back that 1600.00 so you can take me out for pizza!!!!!!! your atty will get it back, i know it!