If you have ever been behind on your debt payments you have probably experienced debt collections like letters of delinquency or calls to settle the debt. For some, debt collection annoyances go beyond the mail and telephone to the garnishment of their paycheck. Wage garnishment orders can be ordered without you even knowing, leaving you with a disappointing surprise come pay day.
What you may not know about wage garnishment is that not all states require creditors to obtain a court order to seize your paycheck. Some may be entitled to simply notify your employer and begin collecting money from each pay check. Wage garnishment orders can take up to 25% of your paycheck, a lot of money for someone already experiencing financial hardship. Even worse, halting a wage garnishment order can be a lengthy legal battle if you attempt to resolve it alone.
One of the tools that bankruptcy can offer in the search for debt relief is the immediate halt to all collection actions, including wage garnishment, repossession and foreclosure. When you file for bankruptcy the court issues an automatic stay order, which is served to all creditors and prohibits them from continuing any collection actions. If you have already had your wages garnished, filing for bankruptcy will prevent any future income from being seized by the creditor. While you may not be able to get what has already been garnished back, stopping future garnishments and resolving your debt is worth every penny. Your Houston bankruptcy lawyer can help you file a petition and get you free of wage garnishment.