Wage Garnishment & Bank Levies

How a Bankruptcy Attorney in Torrance Can Assist You

Did you know that if you are unable to pay your debts, creditors can take money out of your paychecks and even wipe out your entire bank account? At the Law Offices of James C. Shields, we help people avoid these harsh debt collection tactics with the protections of Chapter 7 and Chapter 13 bankruptcy. Our skilled lawyers will work for you to ensure your hard-earned money remains in your pocket.

How to Stop Wage Garnishment Effectively

If you are in debt and a creditor receives a judgment against you, that creditor can garnish your wages by up to 25 percent of the amount over the federal minimum wage that you earn that is not otherwise exempt. For people already struggling with debt, this can be a devastating turn of events.

At our Torrance bankruptcy law firm, the Law Offices of James C. Shields, we help people facing wage garnishment.

Understanding Bank Levies in California

Another creditor action is freezing bank accounts to pay debts, also known as a bank levy. A creditor who receives a judgement against you is entitled to levy your bank account. They must obtain a Writ of Execution from the court, then go through the sheriff to enforce the levy.

Unlike garnishment, there is no limit to the amount that can be taken in a bank levy. Creditors can take everything you have up to the amount you owe, plus court fees. Fortunately, certain assets are protected under state and federal law. A creditor generally cannot lay claim to these funds, even if they have obtained access to your account through a bank levy.

In most cases of a creditor placing a levy on a bank account, your account will be frozen and your bank will hold the funds for 10 days. In this time, you have the opportunity to file a claim of exemptions to protect or even recover various incomes and funds.

With a claim of exemption, you can protect the following benefits:

• Social Security
• Veterans' benefits
• Supplemental Security Income
• Worker's compensation
• Student loans
• Unemployment

Debt collection agencies must follow specific guidelines when making a collection. If they fail to do this, you can take legal steps to protect yourself. A seasoned attorney can help you discover your options for combating the harmful effects of a bank levy and other types of debt collection.

Understanding Wage Garnishment & Bank Levies in Torrance, CA

Living in Torrance, you may be aware of the financial challenges many residents face, especially with the rising cost of living and housing. If you find yourself struggling with debt, the last thing you need is the added stress of wage garnishment or bank levies. Local government resources, such as the Torrance City Council and the Torrance Public Library, offer financial literacy programs that can help you understand your rights and options when it comes to debt management. However, these helpful resources cannot replace personalized legal guidance.

Many residents in Torrance are dealing with the repercussions of unexpected medical bills, job loss, or other financial hardships. These situations can lead to creditors seeking to garnish wages or levy bank accounts, which can feel overwhelming. It's crucial to know that you have rights and options available to you.

At the Law Offices of James C. Shields, we understand the unique challenges faced by Torrance residents. Our team is dedicated to helping you navigate the complexities of wage garnishment and bank levies. We are familiar with local resources and can guide you in filing claims of exemption to protect your income. Whether you live near the bustling Torrance Promenade or in the quieter neighborhoods, we are here to support you in reclaiming your financial stability.

Don't let wage garnishment or bank levies dictate your financial future. Reach out to us today to learn how we can assist you in finding relief and protecting your hard-earned money.

Take Action Now: Schedule Your Free Consultation!

Filing for Chapter 7 bankruptcy or Chapter 13 bankruptcy will stop both wage garnishment and bank levies. Our bankruptcy attorneys have extensive experience using the protections of the bankruptcy code to help our clients keep their money. Whatever situation you are in, we can tailor a legal approach to meet your specific needs.