Preventing Bank Account Siezures and Garnishments

[brokenomore]

Until we file, which should be in a month or so, I have a fear of money being taken out of our account, and if that were to happen, it could be devastating.

I believe we have one judgement for $3,000 and one very large one that we could be served for soon. I made payment arrangements with the first one, but it was oral, and I wonder if they could change their mind and still take from our account.

What are ways to protect funds?

I could cash my checks at a check cashing service but they want 3%. Is there a cheaper way to do it?

(They are checks to me for services performed and not payroll checks).

[MSbklawyer]

Until we file, which should be in a month or so, I have a fear of money being taken out of our account, and if that were to happen, it could be devastating.

I believe we have one judgement for $3,000 and one very large one that we could be served for soon. I made payment arrangements with the first one, but it was oral, and I wonder if they could change their mind and still take from our account.

What are ways to protect funds?

Invest in a fire proof lock box, $50 or so.

I could cash my checks at a check cashing service but they want 3%. Is there a cheaper way to do it?

(They are checks to me for services performed and not payroll checks).

Cash them at the bank they are drawn on.

[brokenomore]

The banks are out of state.

[MSbklawyer]

The banks are out of state.

If you have someone you really trust that has a bank account, then you could give them your checks to deposit in their bank account and they, in turn, could write you a local check or just give you the cash once the checks clear.

[LimpDisc]

Doesn't Walmart cash payroll checks for only $3.00?

Nevermind. Missed that the checks aren't payroll.

[brokenomore]

Actually, it turns out that a bank for a large check is local, so thanks for the tip. I wouldn't have bothered checking if not for your post.

[ghk3rd]

Federal retirement checks are drawn on treasury department. Where could one cash a 6,000 dollar check on a monthly basis without worrying about garnishment ?? Check cashing outfits and Walmart don't seem very secure to me. Do all bank have to honor US government checks with proper identification ?? Some say yes some say no .

[WhatMoney]

Federal retirement checks are drawn on treasury department. Where could one cash a 6,000 dollar check on a monthly basis without worrying about garnishment ?? Check cashing outfits and Walmart don't seem very secure to me. Do all bank have to honor US government checks with proper identification ?? Some say yes some say no .

You answered your own question. Some do, but many will not cash a government check unless you have an account with them. And then, they will still not let you cash it - you must deposit the check in your account and wait until the next business day to withdraw the funds. All you can do is ask around - you still may find someone willing to dispense $6000 a month in cash to you based on a piece of government paper and no account - but I doubt it.

Why not keep direct deposit and move it to an out of state institution? There are hundreds of money market funds that will take direct deposit all over the country, and they pay higher interest than banks. Some are part of mutual fund companies, some with brokerages, some with banks. All have check writing, ACH transfer, and debit card privileges up to 6 transactions per month.

Since your check is exempt from execution anyway, and you have not been sued, you don't have much to fear. If your deposit institution is not local there are extra delays and expenses in attempting to garnish an out of state account, assuming they can ever find it. Just deal with an institution that does not have local branches in your state.