Wage Garnishment
Date: Wed, 10/11/2006 - 08:18
Hi KSpenneberg, welcome to the forums. Are these internet payda
Hi KSpenneberg, welcome to the forums. Are these internet payday loans?
Well that will actually work to your advantage in this case. I
Well that will actually work to your advantage in this case. I don't believe that in the history of the entire world has an internet lender *ever* gotten any sort of court document pertaining to a borrower's wages. And a wage garnishment is not just something they can send to your workplace. A voluntary wage assigment, however, is different. Sometimes they hide those things in the fine print of the loan "contract" or even a phone "contract." Again, they're voluntary. The most effective way to head off that threat seems to be to notify your HR or payroll department, in writing, that you have not signed a voluntary wage assisgmnet nor authorized anyone to deduct anything from your wages. Then send a letter, certified return receipt mail, and fax, to the PDL letting them know that if you signed anything close to a voluntary wage assignment, you are revoking in writing your permission to do so. And make sure that you add that if they attempt to do so anyway, you will prosecute.
I understand that the loan companies are not licensed in your st
I understand that the loan companies are not licensed in your state. It's a must that they should have a valid license before trying to garnish anyone's wages. Since the companies have broken the laws, you are required to pay back only the principal amount and the fees your state allows. Check your state laws whether payday loans is legal or not. Remember, the internet payday loan companies must follow the laws of the state where the borrower resides. Don't be scared on this.
Actually...If An internet lender were to sell the debt to a coll
Actually...If An internet lender were to sell the debt to a collection agency, the CA would be able to get a judgement..This has happened.
I file writs of garnishments and wage assignments for a living..Please pm me if you have any questions or need any help..You have options.
finsfan, can you explain how this process actually works? I was
finsfan, can you explain how this process actually works? I was under the impression that wage garnishments and assignments were actual court orders, and that voluntary wage assignments were different and could be revoked. Are any of these mandated by the courts like I thought, or can any collection agency file one against someone and have it approved?
You are absolutely correct Apavery. Wage assignments Are vol
You are absolutely correct Apavery.
Wage assignments Are voluntary and can be revoked, since the mid-eighties. There is such a thing as court appointed wage assignments, but never for consumer debts, and those can't be revoked. Then..There are garnishments. These are federally mandated, for a consumer debt it is 25% of disposable earning except in states where garnishment is illegal. (Texas, Carolinas, Pa) Federal debts can vary state to state, but are usually pretty consistent.
The thing about payday loans and garnishments...Generally a payday loan cannot get a judgement, because they usually are illegal. (internet, that is..) BUT>>And I have seen this happen, probably twice, they can go into collections and be bought by a CA, and if the CA is licensed in the state you're in, they can sue for a judgement, get one, and BAM! You're being garnished.
I know, it's crazy stuff. The good news is, usually creditors don't garnish for such a small debt.