Saturday, May 31, 2008

What is a Garnishment?

When your wages are garnished, a percentage of what you make is automatically routed towards paying off a debt. You wages can be garnished if you fail to repay a debt, taxes, court settlement, child support or any other debt that a judgment has been granted against you by a court of law. Only a few states restrict wage garnishment, they are Texas, South Carolina, North Carolina and Pennsylvania. This would be for state and federal debts only. Usually the limit of the garnishment is 25% of what a persons paycheck would be. It is not legal to hide assets to avoid the garnishment. You may be prosecuted for fraud if you try.

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