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Texas Writ of Garnishment

by Kristen White Blogger
A writ of garnishment is an order issued by the court to a third party (e.g. a bank) that has possession of assets owned by a debtor who has a judgement against him/her. In order for a lawyer to apply for a writ of garnishment there is need for specific information about the debtor, for example:
The bank he/she banks with
The proper, full name of the account holder
The account number, is an advantage
This information can readily be found on a cancelled check of the debtor. 

So, Texas creditors can generally garnish money you have in your bank account with a writ of garnishment. Once the writ of garnishment is issued by the court, it is then served on the debtor’s bank. Thereafter, the bank freezes the funds in your account, it also freezes any other bank accounts linked to your name or your social security number and files a response to the garnishment proceedings. The bank then informs you of the garnishment as well as the fact that you can no longer access the funds in your bank account. 

With a writ of garnishment a credit card company or debt purchaser can garnish your bank if they have a valid judgement. Therefore, the misconception associated with garnishment of bank funds is untrue, as creditors are able to garnish your bank account in Texas. While creditors are unable to garnish your wages, once the wages are deposited into your bank account they can be garnished. The basic reasoning for this in accordance to what courts have held is that once your wages are deposited into your bank account; they lose their ‘ wages’ status and just become funds. 

As a bank account holder you have no prior notification of the garnishing of your bank account as the writ of garnishment is issued to the bank and not to the debtor. And only upon receipt of the served writ of garnishment shall the bank notify the account holder of the writ of garnishment and the freezing of his/her account(s) making funds inaccessible. 

In respect of the writ of garnishment, once the wages are put into your account, just about any creditor with a court ordered writ of garnishment can garnish your bank account. However, there are exemptions as to what funds can and cannot be garnished, such as:
Assets held in retirement plans – these assets are exempt from garnishment however, if they are transferred into a normal bank account they are liable to garnishment after sixty days
Alimony, child support or separate maintenance – such support for yourself and/or your dependents are exempt from garnishment.
Unemployment benefits – these are exempt from garnishment in accordance to the Texas Labor Code.

Worker’s compensation benefits – these are also exempt from garnishment.
SSI benefits, social security benefits, VA benefits, civil services retirement benefits, Foreign Service Retirement and Disability payments are exempt under Federal law. 
Insurance proceeds in respect of life, health and accident insurance are exempt in accordance to the Texas Insurance Code. 

For more information on wage garnishment in Texas, do not hesitate to contact a law firm of renowned professionals. 

For advice on bankruptcy law seek out bankruptcy lawyers Houston, Tx

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About Kristen White Committed   Blogger

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Joined APSense since, August 19th, 2016, From Chicago, United States.

Created on Dec 31st 1969 18:00. Viewed 0 times.

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