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Illinois State Laws and Garnishment /How can they do this  

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My sister called me today and her they are working with a debt management company up north, They listed all the debt that have and are sending payment to the DC company, However in the meantime JcPenny's have been cashing thier checks from the DC but decided to take it to court or they issued a garnishment on my sister Can they still do this? Isnt there a limit of what they can take as she has nothing left of her check when the health insurance come out etc and the garnishment, She is trying to work overtime but her employer will take the overtime and send it to JcPennys she is told?

What is the laws there about this does anyone know ?
They were trying to pay thier debt and now are in worse shape
 

asked Jul 25, 2006 10:49 AM

txtreasure
Best Answer
6
best answer

Did your sister receive court papers about this garnishment or is it just a threat by the company? Keep the proof of the payment done to the credit company as you will need it to show to the judge. The judge will understand the situation and possibly there won't be a need to garnish the wages. You must consult your debt counselor and inform about the situation.

answered Jul 25, 2006 01:34 PM

10 Answers

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STATE: ILLINOIS

INTEREST RATE

* Legal: 5%
* Judgment: 9%

STATUTE OF LIMITATIONS (IN YEARS)

* Sales (UCC): 4
* Open Acct.: 5
* Written Contract: 10
* Domestic Judgment: 20
* Foreign Judgment: Same as foreign jurisdiction

BAD CHECK LAWS (CIVIL PENALTY) Triple check amount up to $500, attorney fees & court costs.

GENERAL GARNISHMENT EXEMPTIONS
15% of gross wages or disposable earnings for workweek up to 45 x fed. min. hourly wage, whichever is greater.

COLLECTION AGENCY BOND & LICENSE

* Bond: $25,000
* License: Yes
* Fee:
o $750 - Original
o $750 - Renewal
* Exemption for out-of-state collectors: Out-of-state collectors may be exempt if [1] not soliciting accounts in Illinois; [2] their state of residence has laws which provide similar reciprocity (allow out-of-state agencies to collect only); and [3] the state in which the non-Illinois agency resides extends the same privileges to out-of-state agencies.

answered Jul 25, 2006 12:59 PM

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All that aside, I believe that if they cashed the checks then that means that they accepted the aggreement and if they accepted the aggreement, then they shouldn't and can't garnish anything. I would check with the states AG office and see what they say.

answered Jul 25, 2006 01:09 PM

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She got paperwork about a court date and she called the DC that they are working with since they have made many many payments to them and JcPenny's had been cashing the checks, When she called the DC company she turned that paperwork to them and they said they would handle it and this is what happened they told her not to worry about it,
She doesnt make that great of money and they are taking over $300 a month from her pay for this bill She did say that JcPenny's did cash two checks that were sent
Does she have any recourse? At all?

answered Jul 25, 2006 01:40 PM

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I would definitly have her contact the AG office.

answered Jul 25, 2006 01:43 PM

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Talking about your sister's responsibility, she has never denied making any of the payments and there are written facts to prove it. If the court date has been finally set out, ask her to show her presence at the court and explain everything to the judge. If it is possible, you should also go with her. She will feel better. From my point, I don't see any reason of a garnishment here but the judge must understand everything very clearly.

answered Jul 25, 2006 01:48 PM

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The garnishment has already been put in place, she told the DC company about the letter about court and they said they would handle it not to worry so she didnt and now they are already garnishing her wages
So it is already done I guess through the court, her DC didnt handle it but let it slide I guess

answered Jul 25, 2006 01:51 PM

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Your sister can go to the court and file a paper stating that she can't reasonably afford this garnishment. They won't take it away completely, but she can possibly get it reduced. She'll need to have check stubs, w2s, and a reasonable budget written out.

answered Jul 25, 2006 03:02 PM

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My son got a divorce last year and had a $3500 attorney fee. He has been paying them $100 a month but now they sent him a letter stating they would garnish his wages. How can they do that?

answered Mar 11, 2007 11:38 AM

Anonymous
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Hi Susan..
Unfortunately they can do whatever they want. Basically, if they don't think they're getting paid enough fast enough, then they will get a judgement to garnish.

I would suggest that your son contact them and try to make an arrangement to pay slightly more than he paying right now. The attorney's office may go for that and be willing to work something out. Best of luck.

answered Mar 11, 2007 02:23 PM

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