Unpaid debts and back taxes may cause wage garnishment. At Leinart Law Firm, our Texas wage garnishment attorneys offer solutions to remove wage garnishment orders along with ways to get rid of or restructure your debt. Our lawyers will analyze your case, help you understand everything about wage garnishment, and offer a sound strategy to target your best financial outcome.
Texas Law and Wage Garnishment
Before you schedule a free consultation with one of our debt attorneys, it’s helpful to learn about wage garnishment, some of the Texas state laws in place that govern wage garnishment, and options you can employ to avoid it.
What is a Wage Garnishment?
Wage garnishment is a common method of debt collection employed by aggressive creditors. It happens when a court order is filed against you for money you owe. Typically, wage garnishment orders can occur as a result of unpaid income taxes or alimony you may owe a former spouse.
The court sends a notification to your employer who then withholds a certain amount from your paycheck and sends that money to the person you owe money to. This happens until your debt is paid off. The wage garnishment can only be a certain deduction rate of your net disposable income (after taxes), but the max amount they can take out is dependent on your state laws.
Leinart Law Firm has helped many clients with their debt and stopped wage garnishment in its tracks. It is important that if you believe someone is trying to garnish your wages, you need to talk to an experienced debt attorney right away.
If you have had a wage garnishment judgment ordered against you, you may be confused, afraid, or unsure about what that means for your future. Our experienced wage garnishment lawyers are happy to assist you in learning about a wage garnishment judgment and informing you of your best options moving forward.
Federal Wage Garnishment Laws
There are Federal laws in place that limit how much creditors can take out of your paycheck. The amount is limited to 25 percent of your disposable earnings (after mandatory deductions) or the amount by which your weekly earnings exceed 30 times the minimum wage, whichever is lower. These limits vary by state as well.
Title III of the Consumer Credit Protection Act requires that you be left with enough to live on. But for many that are living paycheck to paycheck, even a small amount that is garnished can have big consequences. There are some types of funds that are protected from garnishment, but this area can get a bit complicated. If you have specific questions, it is best to ask your attorney.
How Can I Dispute Wage Garnishment in Texas?
If you want to dispute a wage garnishment, you have to file papers with the court. An experienced attorney familiar with debt and bankruptcy would be a great place to start. At the court hearing, you can present evidence stating that you cannot pay the garnishment amount due to financial hardship. The judge then may decide to end the wage garnishment or leave it in place.
How Do I Know I Have a Wage Garnishment?
You must be notified if a wage garnishment is filed against you. For a wage garnishment to occur, the lender or creditor has to file a lawsuit against you.
You will be served with the paperwork informing you of where and when your court hearing is scheduled. If you get notice of a lawsuit being filed against you, it is crucial that you seek legal advice right away. A wage garnishment would never occur without notice to you beforehand.
Can My Wages Be Garnished If I Have Credit Card Debt?
Texas is one of four states that does not allow wage garnishment as the result of significant credit card debt. Under Texas Law, wage garnishment is also not allowed for individuals with outstanding bank loans, medical debts, and other forms of consumer debt, even if you receive a judgment against you.
How Do I Stop Wage Garnishment Judgment?
Once a judgment has been made, it is hard to overturn. You have a few options in order to satisfy the judgment. Your first choice is to pay off the debt as fast as possible so your income will no longer be deducted. You can also contact a debt and bankruptcy attorney to provide you with more options that may be available to you.
Will Bankruptcy Stop Wage Garnishment?
Eliminating wage garnishment is a prime reason to file bankruptcy. Thanks to automatic stay regulations, creditors must cease all attempts to collect a debt once the appropriate paperwork has been filed, which gives debtors a chance to get their finances back on track without impeding necessary daily expenses.
However, certain types of debts must continue to be paid throughout the bankruptcy process. These “priority debts” often fall outside the purview of the automatic stay. A reliable bankruptcy attorney can help you understand the limits of the automatic stay and help you restructure loan agreements when possible.
Get a Free Consultation With Our Texas Wage Garnishment Lawyers
At Leinart Law Firm, our attorney-client relationship focuses on bankruptcy and debt solutions, so we know exactly what legal protection you may be granted under Chapter 7 bankruptcy or Chapter 13 bankruptcy laws. With more than 15 years of experience with bankruptcy law, we have filed thousands of bankruptcies and helped many people to make a fresh start regardless of their financial situation.
If you are interested in debt relief or bankruptcy relief, consult our lawyers today. Get a free consultation with our debt and bankruptcy lawyers by filling out the contact form at the top of this page, email firstname.lastname@example.org or call one of our offices.