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What is garnishment?

Theresa Perry

in Student Loans

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Jodi Brooks on December 5, 2019

A creditor can file a lawsuit, and if they win, obtain a writ of judgment. This order can be executed in the form of a wage garnishment. The embargo is one way that a creditor can ccollect money from a debtor. Through garnishment a third party can be ordered to pay money over that is otherwise owed to the debtor. The most common example is wage garnishment whereby an employer can be served with an order to pay a portion of a defendant's wages directly to a creditor. However, it is regulated by the statute and the laws vary in different jurisdictions. It is commonly used for such debts as child support, defaulted student loans, traffic fines, taxes, etc Other methods of collection include liens and attachments. Some states are very liberal in the amount that can be garnished. Others do not allow wage garnishment except in specific circumstances, such as child support.

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