There are many hazard associated with waiting too long to file for bankruptcy. One of the main issues is wage garnishment. Many people put off filing for bankruptcy, and find themselves in a situation where their wages are already being garnished by the time they contact a bankruptcy attorney.
A creditor can obtain a court judgment that authorizes them garnish wages, seize your bank accounts, put liens against your real estate property, and more. The good news is with the exception of unusual situations, the creditor cannot obtain a court judgment without notifying the debtor first. The problem here is, the reason that the majority of people stop paying their creditors is because they are financially strapped. This means there isn’t a surplus of money available to the debtor in the first place, and once the wage garnishment is instated, the creditor can garnish up to 25% of the net amount of your paycheck. At this point, it may very likely be difficult for a person in this situation to come up with the money to hire a bankruptcy attorney.
Once your bankruptcy attorney files your bankruptcy, it will stop your wages from being garnished. However, your bankruptcy attorney cannot file your bankruptcy until all of your legal fees are paid in full. This is very difficult for some people when 25% of their paycheck is being garnished. This is not always to due negligence on the part of the debtor. Sometimes wage garnishment judgments are entered without the debtor receiving proper notice, leaving no time for the debtor to prepare. This can be the result of your creditors having an outdated address for the debtor on file. That is why it is very important to ensure that your creditors have your current mailing address so you can receive the necessary legal papers, or the creditors can do a substitute service, and get a judgment against you without your knowledge.
Contact Us Today
Do not wait too long to contact a bankruptcy attorney. If you are behind on your payments to creditors, and they are unwilling to workout a payment plan that you can afford, it might be time to contact us. We can help put an end to your wage garnishment. Contact us today at (888) 728-0044 or email us here. We offer free bankruptcy consultations to prospective clients. We look forward to working with you.