In Georgia, once a creditor obtains a judgment against a borrower, then the creditor will seek to enforce that judgment (collect the judgment amount). Most these judgments relate to credit card debt, auto repossessions or voluntary surrenders, and broken leases.
In Georgia, paychecks as well as bank accounts can be garnished.
Related articles: Bank Garnishments. Wage Garnishments.
Once the creditor that has obtained a judgment files a garnishment action against a borrower, the borrower has two basic options:
- Attack the underlying Judgment;
- File for bankruptcy.
Attacking the underlying Judgment to stop garnishments
If a Judgment was improperly obtained, then the garnishment action relating to that judgment can be attacked. For example, if a defendant was not properly served, then the Judgment may not be valid. Remember, even if the Judgment is successfully attacked, the defendant must win on the underlying lawsuit to prevent a future garnishment action. This is a complicated area of law and, if you want this to be your plan of attack, I suggest that you contact a law firm specializing in these types of action. If I can’t help you, I will be able to refer you another attorney who can.
Filing for Bankruptcy to stop garnishments
Bankruptcy will stop garnishments, with a very few exceptions. The bankruptcy code says that collection efforts including garnishments must stop. Once a bankruptcy is filed, it is not up to the creditor anymore to decide if they want to continue with their garnishment action. They are ordered by the bankruptcy court to stop the garnishment action. Even if the garnishment action has started, filing for bankruptcy will stop the garnishment action. This is the case whether a Chapter 7 or a Chapter 13 bankruptcy is filed.
We can help you figure out if bankruptcy is a good option for you. Remember, the longer you wait, the more money is taken from you.
We are a law firm with multiple locations assisting customers in the Metro Atlanta and Northern and Middle District of Georgia Counties. If you live outside this area, we suggest that you contact a law firm specializing in consumer law and bankruptcy law in your area.