Phoenix Zero Down Bankruptcy Attorneys Answer The Most Asked Questions Related To Garnishment Of Wages
As experienced Arizona bankruptcy lawyers, our debt relief staff has seen a lot of judgements and wage garnishments. If you have additional questions regarding the garnishment of your wages or if you have creditors breathing down your neck, do not hesitate to call our Phoenix Bankruptcy Law Firm at (602) 609-7000. We offer free consultations either in one of our local bankruptcy offices or over the phone.
The Garnishment Of Wages In Arizona
If you’re struggling with debt, there’s a chance that you’ve heard of a wage garnishment. When you miss enough payments, your creditors may pursue wage garnishment of a means of satisfaction. A wage garnishment will have a negative impact on your credit, and diminish your wages by a considerable amount. Your employer will be notified when your wages are garnished, which is probably a fact you’d rather keep private. This will make every aspect of life more difficult, and can cause you to incur even more debt due to your reduced income. If you’re being threatened with a wage garnishment, it’s important that you understand what you are facing, and what are your available courses of action.
What Is a Wage Garnishment?
Wage garnishment is a debt collection too that is very effective in getting monies for debts owed. Wage garnishment is also one of the main reasons that people in Arizona file for bankruptcy as it is difficult to make ends meet when at least 15% of your wages are going to pay the judgement that the creditor has against you. The aforementioned judgement has been used to get a Writ of Garnishment and consequently your wages are then garnished. If you have additional questions, call our Phoenix Bankruptcy Law Firm. We offer free consultations either in one of our local bankruptcy offices or over the phone.
How Long Does a Wage Garnishment Last?
The length of the wage garnishment depends on the balance of the debt to be paid, and the employee’s income. The higher the balance, and the lower the income, the longer it will take to pay off the debt associated with the wage garnishment. Your creditor may charge you interest and attorney’s fees, which will increase the balance, and in turn, the length of time it takes to pay off the garnishment.
How Much Will Be Taken From My Paycheck?
Most debts are capped to be garnished at 25 percent. There are several exceptions, however. Student loans can be garnished at 10%, and most garnishments for other government agencies (e.g., taxes) are limited to 15 percent. Debts stemming from domestic obligations like child support and spousal maintenance can garnish your checks at a far higher rate. In Arizona, your domestic obligations can garnish your wages at 50% or higher if certain conditions are met. The limit is raised to 60% if the person in question hasn’t gained new dependents through marriage or having a child. An additional 5% can be added to each maximum if the employee is more than 12 weeks behind on payments.
How Do I Know If My Wages Are About To Be Garnished?
The process for a wage garnishment isn’t immediate- you should have plenty of notice before it begins. First, you should receive a summons from one of your creditors giving you a date to either respond by or appear in court. If you don’t have a strong defense, or you fail to appear or respond, your creditor will secure a judgment against you. Once the creditor has a judgment against you, they can request a writ to garnish your wages. Once that is served on your employer, the garnishment can be taken out of your next paycheck.
Can’t My Employer Just Ignore The Wage Garnishment & Pay Me My Full Wages?
Your employer is required by law to comply with the wage garnishment. Your creditor can easily report them to the applicable authorities once you are paid without garnishment remittal. Your wage garnishment will also follow you between employers, so you can’t simply quit your job and find new employment to avoid a wage garnishment. Plus, if your employer does not comply with the court ordered garnishment, they may be encumbered into the law suit and be a responsible party for the debt.
How Can I Stop a Wage Garnishment In Arizona?
You will have the opportunity to dispute the amount owed during the judgment process, but you will have limited options once it proceeds to a wage garnishment. The debt will need to be paid in full, either through the garnishment installments or in a lump sum. The only other way to stop a wage garnishment is to declare bankruptcy. If you have additional questions, call our Phoenix Bankruptcy Law Firm at (602) 609-7000. We offer free consultations either in one of our local bankruptcy offices or over the phone.
Are There Any Forms Of Income Exempt From Wage Garnishments In Arizona?
Veterans’ benefits and social security income are exempt from wage garnishments. You should consult with a Phoenix bankruptcy attorney to confirm that your income will be protected.
What Is The Automatic Stay?
The Automatic Stay is a legal protection that goes into place when your Chapter 7 or Chapter 13 bankruptcy petition is filed. It stops your creditors from not only garnishing your wages, but foreclosing your home, repossessing your vehicle and other assets, shutting off your utilities, and more. The stay remains in effect until the case is discharged or dismissed.
Are There Any Exceptions To The Automatic Stay When It Comes To Wage Garnishment?
The Automatic Stay stops most wage garnishments, regardless of the chapter you file. However, filing Chapter 7 bankruptcy will not stop wage garnishments for child support or spousal maintenance. Only a Chapter 13 bankruptcy that fully pays off the balance in arrears in the plan will stop a domestic obligation wage garnishment.
My wage garnishment starts in just a few days. What can I do? If you have additional questions, call our Phoenix Bankruptcy Law Firm. We offer free consultations either in one of our local bankruptcy offices or over the phone.
Do I Need An Arizona Bankruptcy Attorney If My Wages Are Soon To Be Garnished?
When a creditor has a judgment against you, errors in your bankruptcy case could mean dismissal, which ends the protections of the Automatic Stay. Your creditor can resume garnishing your wages if your bankruptcy is dismissed due to errors and discrepancies in your bankruptcy petition. The best way to ensure that your petition is filed correctly is to hire an experienced Arizona bankruptcy attorney to do so.
What If I Can’t Afford To Pay My Bankruptcy Costs Before Or During a Wage Garnishment?
Our attorneys at Arizona Zero Down Bankruptcy Lawyers offer payment plans starting as low as zero dollars for qualified clients. Your bankruptcy will be paid for in affordable installments, up to 12 months 0% interest after filing. To learn more about our payment options, call to schedule your free consultation today. Call our Phoenix Bankruptcy Law Firm at (602) 609-7000. Our Arizona bankruptcy team offers free consultations either in one of our local bankruptcy offices or over the phone.