Well, if you do not pay your debts, a creditor holds right to head court in order to obtain a wage garnishment. It seems essential to mention here that a wage garnishment is a kind of court order which holds power to force an employer to send a portion of your wages directly to your creditors.
- What Amount Of Your Wages Can Be Garnished?
This might be a question popping up in many of your minds. Actually, only a particular amount of your wages can be garnished and this very much depends on your particular jurisdiction. Generally, the amount can be either 25% of your income or $217.50. Apart from it, the typical maximum garnishment can be 60%. In order to calculate the maximum wage garnishment amount, your disposal income would be considered your income apart from the legally required deductions including taxes and social security.
- According to law, your employer does not hold right to fire you for having your wages garnished with just one debt.
- But your employer could decide to make you out on the basis if you are having multiple debts garnished from your wages and it also goes with the subject of your particular jurisdiction.
- To stay safe from wage garnishment and credit, take care of your debt before they head to court. Moreover, it also helps not to affect.
- Wage Garnishment and Student Loans
In case, if you have already given a notice, the Department of Education holds right to garnish your wage without any prior court order. You also need to keep in mind that student loan companies generally introduce a plethora of payment plans allowing you to pay back your school debt at a reasonable monthly rate without confronting any hassles.
- Only Way To Stop A Wage Garnishment
The only way to stop the wage garnishment is to wait until your all debt is paid off. Apart from it, you can file a consumer proposal or by filing for personal bankruptcy regarding wage garnishment and credit.
- Settling Before Garnishment
Make sure that you are going to contact your creditor just after when you received the lawsuit order. Chances are high that creditors may not be interested in a settlement as they would have been receiving a regular payment from your paycheck.
- How much will you be left after garnishment?
The Government would not responsible for any of your financial expense during the garnishment process. According to the law, you will be left with less than $200 for the single and $300 for the married.
- Can your employer fire during wage garnishment?
Your employer does not hold right to fire you if you are having one wage garnishment levy. But an employer can legally terminate your employment if you hold two garnishments and both are being garnished at the same time.
- What Types of Wages That Can Be Garnished
Generally, only particular kind of wages can be garnished including
- or other income.
Garnishment can affect your credit and this is true. The major credit reporting companies always do check the history of wage garnishment and credit in a detail of the applicants and it can affect your credit line if you hold wage garnishment history.