What happens after a default Judgement?
What happens after a default Judgement?
Default judgments happen when you don’t respond to a lawsuit — often from a debt collector — and a judge resolves the case without hearing your side. Next up could be wage garnishment or a bank account levy, which allows a creditor to remove money from your bank accounts to repay the debt.
How long can a Judgement be held against you?
California allows the judgment to last ten years and it can be renewed for an additional ten years if the creditor files the required forms in a timely fashion. Failure to renew the judgment prior to the ten-year time limit voids the judgment forever.
How do I protect my assets from a Judgement?
Here are five or the most important steps to take when protecting your assets from lawsuits.
- Step 1: Asset Protection Trust.
- Step 2: Separate Assets – Corporations & LLCs.
- Step 3: Utilize Your Retirement Accounts.
- Step 4: Homestead Exemption.
- Step 5: Eliminate Your Assets.
Can I quit my job to avoid wage garnishment?
Further, if you think that quitting your job and simply finding another one will resolve the situation, you may be surprised to find that the garnishment order will follow you to your new job as well. As such, while quitting your job is certainly a legal option, you may do well to consider other recourse alternatives.
What happens if an employer refuses to garnish wages?
Unfortunately, by ignoring the proper Writ of Garnishment, your employer can get in trouble and Debbie may get fired. and the creditor finds out, your employer may end up going to court on an Order to Show Cause, where they have to explain to the judge why they ignored the court documents.
Can I be garnished twice at the same time?
By federal law, in most cases only one creditor can lay claim to your wages at a single time. In essence, whichever creditor files for an order first gets to garnish your paycheck. In that case, another creditor’s order can be put into effect up to the amount allowed by law to be taken out of each of your paychecks.
How can I reduce my garnishment?
Some of the ways to lower—or even eliminate—the amount of a wage garnishment include:
- filing a claim of exemption.
- filing for bankruptcy, or.
- vacating the underlying money judgment.
Can my employer fire me for wage garnishment?
Employees cannot be fired because their wages are garnished. Federal law protects you from being fired simply because your wages are being garnished for a single debt. However, if your wages are being garnished for two or more debts, your employer can fire you if it decides to do so.
