When a person is unable to pay their debts to a given creditor, the creditor may take legal action against them so as to get his money back. If this is the case, the court system may decree a garnishment order. This involves deducting money from the income of the debtor until his dues are fully settled. However, this has not been in good books with everyone and there have been campaigns to stop garnishment today San Francisco CA.
Garnishment has been ridiculed as being an inhumane way of solving a misunderstanding. The fact that a person's income is slashed every time he gets it is appalling and even disheartening in some circles. The order of garnishment does not leave some room for consumption and other uses but instead cuts off a chunk of it to pay off the creditor.
The process by which the funds are deducted mainly depends on the form of income the defendant gets. Since the majority of people are in formal employment, the funds are deducted as a normal deduction from the payroll, along with taxes and other such deductions. However, there are laws governing the amount deductible. This is set at a maximum of 25% of disposable income.
Various debts have been allowed by law to attract a garnishment sentence if the borrower is unable to pay up his dues. The common types that warrant for this type of judgment include failure to pay child support money, failure to commit in paying the accrued student loans, failure to repay backlogged taxes both federal and local. Legal fees and fines in court attract the same ruling.
Another major reason that causes garnishment is credit card debt. Garnishment is however used as a last resort. Initial steps usually involve selling the debt to various debt collection companies. If this fails, other measures may be sought. If all do not bear fruit, the credit card company may sue the card holder for defaulting, and this will usually lead the court to authorize summons on the card holder's account.
This method of getting people to pay their dues back has been termed as barbaric and archaic. It has been shot down by common men and law professionals alike. There are a lot of scholars trying to come up with new measures of how to settle such disputes without having to embarrass a debtor, as is the case with garnishing.
Filing for bankruptcy is a method being advocated for by lawyers to avoid summons. It can also be used to cease the collection of income. The procedure has to be done correctly and carefully. Requesting a negotiation with the creditor is another method that has shown positive results and will often result in elimination of the summons.
Garnishment has not been received well among many circles, and renegotiations are seen as the most likely way of ending these suits. Most creditors will however also require a waiver on the costs and related charges incurred during the court process which is a small price to pay for the elimination of garnishment as well.
Garnishment has been ridiculed as being an inhumane way of solving a misunderstanding. The fact that a person's income is slashed every time he gets it is appalling and even disheartening in some circles. The order of garnishment does not leave some room for consumption and other uses but instead cuts off a chunk of it to pay off the creditor.
The process by which the funds are deducted mainly depends on the form of income the defendant gets. Since the majority of people are in formal employment, the funds are deducted as a normal deduction from the payroll, along with taxes and other such deductions. However, there are laws governing the amount deductible. This is set at a maximum of 25% of disposable income.
Various debts have been allowed by law to attract a garnishment sentence if the borrower is unable to pay up his dues. The common types that warrant for this type of judgment include failure to pay child support money, failure to commit in paying the accrued student loans, failure to repay backlogged taxes both federal and local. Legal fees and fines in court attract the same ruling.
Another major reason that causes garnishment is credit card debt. Garnishment is however used as a last resort. Initial steps usually involve selling the debt to various debt collection companies. If this fails, other measures may be sought. If all do not bear fruit, the credit card company may sue the card holder for defaulting, and this will usually lead the court to authorize summons on the card holder's account.
This method of getting people to pay their dues back has been termed as barbaric and archaic. It has been shot down by common men and law professionals alike. There are a lot of scholars trying to come up with new measures of how to settle such disputes without having to embarrass a debtor, as is the case with garnishing.
Filing for bankruptcy is a method being advocated for by lawyers to avoid summons. It can also be used to cease the collection of income. The procedure has to be done correctly and carefully. Requesting a negotiation with the creditor is another method that has shown positive results and will often result in elimination of the summons.
Garnishment has not been received well among many circles, and renegotiations are seen as the most likely way of ending these suits. Most creditors will however also require a waiver on the costs and related charges incurred during the court process which is a small price to pay for the elimination of garnishment as well.
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