Video instructions and help with filling out and completing What Form 843 Garnishment

Instructions and Help about What Form 843 Garnishment

Special issues in debt la Canne debt collectors garnish social security brought to you by your legally calm your advantage if you're being sued by debt collectors if you are an elderly or disabled American or are receiving Social Security for any other reason you may fear that that collectors could seize or garnish your income from Social Security most of the elderly are disabled need that money pretty badly so can they do it can debt collectors reach for Social Security payments the short answer as to whether debt collectors can garnish those such as security as no they cannot section 207 of the Social Security Act provides that none of the money is paid or payable shall be subject to execution levy gun attacks when garnishment or other legal process in plain English that means that the debt collectors can't use wall central garnishments to take away Social Security monies at a minimum that means the debt collector can't go to the government as they would be with an employer and take the money before you ever see it mind you we're talking about after getting a judgment no collection occurs without a judgment we're talking about what happens after a lawsuit that you lose and we'll come back to that later however as with so many things in the law the simple answer is often it is only the beginning of the question you need to know more before you can really relax you the real life practical answer is a little more complicated for the real I think so let's consider the way money is seized or garnished as we said about it starts with a lawsuit integer nothing happens without that in 99.99% of the cases the exceptions really not worth considering here doctor getting the judgment the collectors often ask you to pay they'll send you a letter that says basically the game is up fork over it isn't important to note that they don't have to ask you first they could go directly to the next step which is looking for your assets jobs bank accounts other sources of income property you named on the whole debt collectors are lazy or maybe one should say efficient they often ask first for the money from you and off and usually they don't mount a very effective search for money if they don't already have information that's efficient for them because as they know so many of their victims don't really have any money or assets they can reach but they could find stuff if they wanted to spend the money to do so now that means you have to prepare for that possibility that they will some debt collectors are very energetic luck of the draw if they can find them the collectors often go to the debtors banks and serve notice of garnishment on the bank without providing any notice of that fact of the debtor which is legal and it makes sense to write since if they told you you might withdraw the money the garnishment takes effect immediately it freezes the account it doesn't actually freeze the account though it just puts it back on the hook to the debt collector for whatever they happen to be holding of yours up to the amount of the judgment since they don't want to lose the money they hold on to you on to yours but your account can still be quite active in it very likely will be you might think the bank would tell the debt collector that the money in the account contains some Social Security payments or you might think they'd give you a call to let you know what was going on I've never heard of them doing either of these things them eventually the bank sends notice to the debtor by snail mail a few days later the horrified debtor that's you she learns that his or her checks have been bouncing and huge fees have been accumulating frozen accounts mean no money to pay the checks even if the money can't be legally garnished and most or all states the banks hold the assets that seek that are seized for a period of time before turning them over to the debt collector the debtor can challenge the garnishment during that time if they have energy and assets to do so then it's all supposed to get sorted out and money from Social Security can't be garnished but this takes time at best and resources in during that time a person of limited income could be Vic t'adore unable to purchase medicine or other essentials and the banks are charging them fees which they may or may not ever return a few years ago there were some horrible stories coming out of New York City about the way this was affecting the elderly you do not want to leave yourself vulnerable to this process instead take some simple precautions if you have more than one source of money including Manzel including non Social Security and if you are in debt troubles separate your funds don't put your other funds in with the Social Security that risks losing them all and it risks getting your account frozen and having to spend money on freezing don't keep them in the same Bank it's banks it get garnished not that not accounts tell the banker that the only thing going into the Social Security account is Social Security and make that be true sometimes it makes a difference and keeps the account from being garnished never give the debt collectors information about any accounts anywhere if you are in debt trouble pay with money orders when should you take these actions whenever you see trouble coming best to put your money in different places before trouble develops but it's still a good idea to do if you wait until there is a judgment against you you just won't have