If you could pay your creditors, you would. Filing for bankruptcy can end the threat of wage garnishment and all actions by debt collectors. It allows you to eliminate all or a portion of your unsecured debt and modify the payments on secured debts.
The Hedtke Law Firm can explain wage garnishment law and explore your options for relief from debt and creditor harassment.
Are creditors attempting to garnish your wages to collect on debts? In most cases the filing of a bankruptcy puts in place an automatic stay which stops and prevents wage garnishment and property seizures and all other actions to collect the debt. The Hedtke Law Firm extends a free consultation at three locations:
West Covina • Upland • Moreno Valley
If you are employed, creditors may obtain a judgment against you and then seek to enforce that judgment by garnishing your employment income (wages, commissions or earnings). A judgment creditor may garnish up to 25 percent of your take-home pay until the debt is satisfied. In almost all cases filing for Chapter 7 or Chapter 13 bankruptcy invokes an automatic stay that halts all creditor actions, including wage garnishment, vehicle repossession, and collection efforts.
There are some exceptions. You can never avoid child support obligations through bankruptcy, and in Chapter 7 the automatic stay may not stop garnishment for alimony and may only temporarily stop garnishment on tax debts or federal student loans. Most other judgments against you can be discharged or temporarily stayed. Child support arrears, tax debts and student loans can be paid in a Chapter 13 repayment plan. Tax obligations that are not dischargeable can, in most instances, be repaid without interest or penalties.
Take action today. The Hedtke Law Firm will address all your concerns about bankruptcy and help you avoid garnishment and other debt collection actions. Arrange your free consultation at 626-593-1556.