What are Wage Garnishments?

Posted by Corey L. Scott | Aug 12, 2022 | 0 Comments

Wage garnishments happen when a court orders an employer to withhold a certain amount of money from an employee's paycheck and send it to someone to whom the employee owes money.

There are different types of wage garnishments, but the most common type is creditor garnishment. A creditor garnishment happens when someone owes money on a debt, like credit cards, medical bills, or student loans. The court can order the person's employer to withhold money from their paycheck and send it to the creditors.

In some cases, wage garnishments can be stopped if the person files for bankruptcy, but there are some types of debts that cannot be discharged in bankruptcy. Child support or alimony payments cannot be discharged in bankruptcy. Wage garnishments for those types of debts will continue even if the person files for bankruptcy.

Can My Unemployment Benefits Be Garnished?

The answer depends on the reason for the garnishment. Generally, unemployment benefits can be garnished for child support, alimony, or back taxes owed to the state which issued you unemployment. If your benefits are being garnished for one of these reasons, you'll typically receive a notice in the mail informing you of the garnishment and how much will be taken out of your benefits.

If your benefits are being garnished for any other reason, such as unpaid student loans or credit card debt, it's unlikely that your benefits will be garnished. In most cases, you can file for an exemption from garnishment if you can demonstrate that paying the debt would cause undue hardship.

Can I Put a Stop to Wage Garnishments?

While wage garnishment can be a difficult situation to be in, there are options available to help you stop the wage garnishments and get back on track. The best way to stop wage garnishments is to contact your creditors and work out a payment plan that works for both parties. You may also be able to negotiate a lump sum payment to pay off the debt in full.

If you are unable to come to an agreement with your creditor, you can file for bankruptcy which will put an automatic stop to all wage garnishments. If you are currently facing wage garnishments or are at risk of wage garnishments, contact our law offices today to discuss your options and find a solution that works for you.

When Should I Contact a Lawyer?

If you are having trouble making ends meet as a result of wage garnishments, a lawyer can be there for you. A lawyer can help you negotiate with your creditors and come up with a payment plan that works for both parties. If you are unable to reach an agreement with your creditor, a lawyer can also help you file for bankruptcy which will put a stop to all wage garnishments.

If you are facing wage garnishments or are at risk of wage garnishments, contact our law office today at (317) 623-4546 to schedule a consultation. We can help you explore your options and find a solution that works for you.

About the Author

Corey L. Scott

Corey L. Scott, was born and raised in East Chicago, Indiana. Upon graduation from East Chicago Central High School, Corey attended Indiana State University and graduated with a Bachelor of Science degree in Criminology.  Upon graduation, Corey accepted a position with the Marion County Superior Court, Juvenile Division where he served with distinction for the next nine years, eventually being promoted to Director of the Youth Counseling Department. Pursuing his dream of becoming an attorney, Corey attended the Indiana University School of Law-Indianapolis.  While in law school, Corey was an Indiana Council on Legal Education Opportunity (ICLEO) fellow and participated in Moot Court competitions.  He also worked in the Marion Superior Court, Criminal Division as a bailiff and research assistant to the Honorable Tanya Walton Pratt, who serves as a Judge on the United States District Court for the Southern District of Indiana. Corey also served as an internship law clerk to the Honorable Judge, Margret G. Robb, at the Indiana Court of Appeals. Finally, upon graduation from law school, Corey had the distinct honor and privilege to serve as a law clerk to the Honorable Justice, Robert D. Rucker, who sits on the Indiana Supreme Court. Corey then became an associate with Mike Norris Law Office, where he specialized in bankruptcy law with a main concentration on working to assist families obtain a fresh start through Chapter 7 bankruptcy.  Still a young attorney, Corey then served as a public defender at the Marion County Public Defender Agency.  In this position, Corey gained invaluable trial experience by defending clients in a wide range of matters from misdemeanors to serious felonies on a daily basis.  It was also during this time that Corey discovered his passion for representing and serving "everyday people." An entrepreneur at heart, Corey established the Law Office of Corey L. Scott, P.C.  Since then, he and his staff have served the greater Indianapolis community and surrounding counties in several legal disciplines including: Bankruptcy, Criminal Defense and Family Law.  In keeping with his vision, Corey L. Scott, P.C., is a client focused, results oriented general law practice that endeavors to provide legal solutions for "everyday people" charged with a crime, dealing with financial crisis or going through a difficult divorce. Corey has also been active serving the greater Indianapolis community by participating in pro bono programs such as "Ask a Lawyer," the "Modest Means" panel program which allows individuals to afford legal counsel at a fraction of normal rates, Neighborhood Christian Legal Clinic and the Heartland Pro Bono Council program. Corey is a proud member of the Indianapolis Bar Association, Indiana Bar Association, American Bar Association, National Association of Criminal Defense Lawyers and the National Association of Consumer Bankruptcy Attorneys.

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