A wage garnishment is a legal procedure that allows creditors to take a certain amount of your pay each pay period and many people facing this scary situation ask How Can I Stop a Wage Garnishment?
You can only stop by negotiating an agreement with your creditors or with another legal procedure such as bankruptcy or a consumer proposal.
Employers can be forced by a wage garnishment order to send up to 50% of your wages to your creditors.
A garnishment order can also be made against your bank account.
When you enter into a proposal plan or go bankrupt an automatic stay of proceedings goes into place, which stops all collection actions, including wage garnishments.
If you are facing a wage garnishment order and are having your funds garnished from your pay and are struggling with making ends meet there are methods for stopping a wage garnishment. You can stop a wage garnishment without filing bankruptcy in some cases as well!
How to Stop a Wage Garnishment
You can stop a wage garnishment yourself by making a deal with your creditors for repayment. Not all creditors will agree to this but if you can reach an agreement with all of your creditors you can stop the wage garnishment and avoid bankruptcy.
If you are unable to reach an agreement with your creditors, you will have to seek professional assistance for stopping your wage garnishment.
A bankruptcy trustee can help you stop a wage garnishment with a consumer proposal or by filing bankruptcy.
Which method you use will depend on your financial situation; a bankruptcy is usually best for people with little income and few assets, while most debtors seeking to stop a wage garnishment with a consumer proposal have a higher income and likely more assets.
What Do I Do If I am Facing a Wage Garnishment?
If your creditors are threatening a wage garnishment order against you it is important that you take immediate action to prevent losing part of your next pay. The first thing you should do is to attempt to reach an agreement with your creditors on repaying the debt.
If this does not stop your wage garnishment you can speak to a bankruptcy trustee to learn more about going bankrupt or filing a proposal. Only a bankruptcy or proposal will stop a wage garnishment if you cannot reach a settlement agreement with your creditors.