Can My Wages Be Garnished If I Settle My Debt?
Are your wages currently being garnished? Or have you received notice that a creditor is taking legal action against you that could result in your wages being garnished? If so, what this means is that a portion of your paycheck will be withheld and transferred to the creditor (or creditors) for debt you owe. Wage garnishment is lawful under Chapter 4 of the Georgia Code after a creditor has taken certain legal action. Whether your wages are now being garnished or you have concerns that they might be garnished in the future, you are likely looking into your options. Specifically, can debt settlement end or prevent wage garnishment?
If you settle the debt or debts for which your wages are or would be garnished, debt settlement will stop wage garnishment. Our Georgia debt settlement lawyers can provide you with more information.
What is Wage Garnishment?
Wage garnishment is a term that refers to a debtor’s wages being withheld for the benefit of a creditor after a judgment is obtained in a Georgia court. Property beyond wages can also be garnished in some cases, though wage garnishment is most common.
This happens after a debtor fails to make payments to a creditor, and a creditor files and wins a lawsuit against the creditor to recover the debt owed. A portion of the debtor’s wages are then held back (garnished) so that the creditor can be repaid over time.
How Can Debt Settlement Stop or Prevent Wage Garnishment?
How does debt settlement stop a current wage garnishment or prevent a future wage garnishment? First, the debt settlement agreement will have to address the specific debt (and creditor) for which wages are being garnished. Assuming you are planning to settle the debt or debts for which wage garnishment is occurring or would occur, here is how it would work.
Your debt settlement lawyer will negotiate a debt settlement amount with the creditor for less than the total debt you owe. Often, the negotiated amount is significantly less than what you owe. You will agree to pay the negotiated amount, and in exchange the creditor (or creditors) will forgive the remaining debt. This means you will no longer be liable for the debt. Accordingly, wages cannot be garnished for debt you do not owe.
Contact a Georgia Debt Settlement Attorney in Lilburn for Assistance
Whether your wages are currently being garnished or you have reason to believe that they could be soon, settling your debt will end wage garnishment. Once your creditor accepts your settlement offer, the remaining amount of your debt will be forgiven. As such, you will no longer be liable for any portion of the settled debt and the creditor will not be able to garnish your wages or continue to do so in order to obtain any debt repayment from you. To find out more, you should get in touch with an experienced Lilburn debt settlement lawyer at Konn Law Firm LLC. We can answer your questions about debt settlement and wage garnishment today, and we can begin working to negotiate a reasonable debt settlement amount with your creditors. Contact us for assistance.
Source:
law.justia.com/codes/georgia/2019/title-18/chapter-4/
