are levies repeatable and coordinated with garnishment?

[IOIOIO]

Does the same creditor get to repeatedly wipe a levied bank account until the amount they got the judgment for is reached?

Relatedly, if I have direct deposit and the creditor garnishes my wages, can the creditor get the rest of the paycheck if they've levied the account it gets deposited in? Wage garnishment, I believe, is limited to 25% here and I couldn't complain about paying a total of 25% to creditors if I was left the other 75% to pay for living expenses. But if they're able to double dip by grabbing the rest of a paycheck as soon as it's deposited into a bank account, and if they're able to do this repeatedly, that seems counter to the logic of limiting garnishment to 25%. It would be impossible to survive and I'd have to turn to costly check cashing.

[lrprn]

Does the same creditor get to repeatedly wipe a levied bank account until the amount they got the judgment for is reached?

Relatedly, if I have direct deposit and the creditor garnishes my wages, can the creditor get the rest of the paycheck if they've levied the account it gets deposited in? Wage garnishment, I believe, is limited to 25% here and I couldn't complain about paying a total of 25% to creditors if I was left the other 75% to pay for living expenses. But if they're able to double dip by grabbing the rest of a paycheck as soon as it's deposited into a bank account, and if they're able to do this repeatedly, that seems counter to the logic of limiting garnishment to 25%. It would be impossible to survive and I'd have to turn to costly check cashing.

IO, what state are you in?

[IOIOIO]

California.

[SinkingFast]

http://www.bcsalliance.com/ccpa_15usc1673.html

California uses Federal Wage Garnishment Rules, per the link above.

I don't know if one Creditor could get both a Wage Garnishment AND a Bank Acct Levy in CA. Both actions require going thru the Sheriff to execute the orders:

http://www.associatedcontent.com/art...judgments.html

Whether or not a Creditor could get both is the question.

[IOIOIO]

Thanks. Based on your link, I got the relevant chapter on garnishment in the U.S. Code, which is http://www4.law.cornell.edu/uscode/h..._41_20_II.html

[lrprn]

California.

You are right - California uses the federal rules with a 25% wage garnishment maximum allowed - see http://www.bcsalliance.com/ccpa_15usc1673.html for the details about what is allowed by the federal garnishment rules.

The most effective way to stop the garnishment is to file bankruptcy, but as I recall, you are thinking of not filing.

According to the website I shared, whether more than 25% can be taken by whoever has the judgment against you depends on what kind of debt it is that your wages are being garnished for. This is a complex issue that would best be discussed with a lawyer. You can make 3-4 free consultation appointments with a few bk lawyers in your area and run this question by them along with your other concerns. That way you can make an informed decision about what's best for you in your specific situation. Good luck - please keep us posted on how things are going for you.

[lrprn]

http://www.bcsalliance.com/ccpa_15usc1673.html

California uses Federal Wage Garnishment Rules, per the link above.

Even as I am researching CA garnishment, SF comes up with the same answer! Hope these responses are helpful to you, IO.

[SinkingFast]

Ditto's to Lrprn's comment.

Even if you don't intend on filing, make some Consult appts and chat with a few attnys. You can get professional opinions and information for free.

Well, generally, Consults are free, anyway.

[IOIOIO]

Yeah, I'm looking into the possibility of putting off Ch.7 as long as possible since I believe I'm judgment proof due to no assets and sparse wages. If the consequences are, at worst, garnishment of 25% of a paycheck, that's a whole lot different than losing 100% of every paycheck due to a bank levy that follows up the garnishment and double dips the same paycheck. I guess the legal point is getting fine enough to require a lawyer's opinion, but I still appreciate any further light people can shed.

[GoingDown]

Yeah, I'm looking into the possibility of putting off Ch.7 as long as possible since I believe I'm judgment proof due to no assets and sparse wages. If the consequences are, at worst, garnishment of 25% of a paycheck, that's a whole lot different than losing 100% of every paycheck due to a bank levy that follows up the garnishment and double dips the same paycheck. I guess the legal point is getting fine enough to require a lawyer's opinion, but I still appreciate any further light people can shed.

I think the people above gave some good advice about going to see several BK attorneys for free, just to make sure that you are getting good, sound legal advice, and to help you find the BK attorney who will be best for you as well.

As far as whether a judgment creditor can garnish your wages AND levy your checking account, the answer sadly is yes. They are seperate actions, and they can take both actions against you, and both are very common actions for them to take. Those are the two easiest ways for them to collect their judgment against you. The main difference is that wage garnishment generally lasts until either the debt is paid off or you quit or get fired from that job, or file for bankruptcy. When they levy a checking account it is generally a one shot deal, but unfortunately, they can keep on levying against the account over and over, but it costs them each time they do it.

While technically speaking the money in your checking account should be "exempt" since they already took 25% of your paycheck, it would be up to you to prove that it was exempt, which would cost you money in terms of court fees and possibly legal fees if you hired an attorney, and at the very least you wouldn't have access to the money in your account until the matter was resolved.

If it was me, I would start getting paper checks from your employer and then start cashing them.

[SinkingFast]

While technically speaking the money in your checking account should be "exempt" since they already took 25% of your paycheck, it would be up to you to prove that it was exempt, which would cost you money in terms of court fees and possibly legal fees if you hired an attorney, and at the very least you wouldn't have access to the money in your account until the matter was resolved.

If it was me, I would start getting paper checks from your employer and then start cashing them.

Very good advice, the GD!!

My Brother had a Bank Acct Garnishment against him. He was never served to appear in Court or anything. Somehow, the Creditor got a default judgement.

In June, the Bank turned over all funds in the Brother's Bank acct even tho all monies were SSDI and Retirement. In Brother's State, SSDI and Retirement are exempt for Bank Garnishments.

Brother had to hire an attny to get his money back. The Creditor's attny argued "Mixed Funds" in hopes of keeping the money as Brother's checking acct was interest bearing.

A Judge ruled the Creditor could keep $0.05 but had to return the rest of the money. The nickle was 3 cents of interest from one month and 2 cents of interest from another month as stated in the Judge's decision.

The Creditor, to date, has yet to return the funds. Despite a Court Order signed by a Judge to do so. Brother's attny is going back to Court to get the Creditor to remit the funds.

Even if you win in Court, it may take a while to get the money.

[poorme]

For anyone facing these possibilities, especially if receiving any supplemental income sources such as SSI, SSDI, or pension/retirement monies - it is a good idea to have those deposited into a separate banking account from any wage-earner incomes. The bank can attach a description that indicates such so that 'searchers' can more easily see the funds are legally exempt. That won't entirely stop some of these getting attached, but will enable them to be more easily identified and quantified.