The Legal Aspects Of Wage Garnishment
Most people are not aware that creditors are able to sue in order to recover delinquent funds. If a creditor files a lawsuit against you and is victorious, the court will grant the writ for wage garnishment. In accordance with this court issued writ, an employer can garnish your salary by taking a specific amount from all paycheck and then remit this amount to an account stipulated within the legal notice. When an employer gets this order it must be followed to avoid legal action.
The following are several ways to avoid a wage garnishment:
This action can be avoided if you make a decision to speak directly to your creditors. This means you should not ignore any phone calls or letters from creditors, but take time to speak with them directly or perhaps through an attorney in order to reach an amicable agreement to settle your debt.
In the event that your creditors or creditor might not be prepared to reach a arrangement outside of the court, it is possible to arrange for a session with a debt counselor. This counselor will review the problem and might suggest that you file to get a consumer proposal in the local court; this is one of the approaches for debt management.
Any garnishment acquired by your bank, local credit union or credit card company can be halted whenever you apply to the courts for a consumer proposal, since this will provide you with a specific time period to repay your creditor fully or in part. It’s also possible to stop this action by making a request to get a debt consolidation. This loan will allow you to repay all your debts in one payment.
Always remember that avoiding creditors will not solve any of your financial debt problems. As an alternative, it may aggravate the situation when the creditors file to get a garnishment procedure against you. Therefore, an effective way to stop a garnishment action on your salary is to honestly deal with creditors by responding to emails and letters.
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