wage assigment
Date: Thu, 04/08/2010 - 19:30
I am in Tn and does anyone know the laws for a wage assignment. my HR recieved a wage assigment from 1000cashovernigh.com and they said i need to get it takes care of or they will garnnish my wages. in the letter it states that it is irrevocable. i have a letter that i am going to give my hr but i was wanting to put the laws in it as well i have searched and searched and cant find them. i have heard in the state of tn that you can only have your wages garnished by a court order. this is all i found off of the FTC website would this help to put in the letter???
What contract provisions are prohibited?
The Rule prohibits creditors from including certain provisions in their consumer credit contracts. Specifically, credit contracts no longer can include provisions that:
Require you to agree in advance, should the creditor sue you for non-payment of a debt, to give up your right to be notified of a court hearing to present your side of the case or to hire an attorney to represent you. (These clauses were often called "confessions of judgment" or "cognovits.")
Require you to give up your state-law protections that allow you to keep certain personal belongings even if you do not pay your debt as agreed. (These clauses were called "waivers of exemption.") State law generally allows you to keep your home, clothing, dishes, and other belongings of a fixed minimum value. However, when the debt incurred is to purchase an item and that item is used as security for the debt, it is permissible under the Rule for a creditor to repossess that item.
Permit you to agree in advance to wage deductions that would pay the creditor directly if you default on the debt, unless you can cancel that permission at any time. (These clauses were called "wage assignments.") However, a wage or payroll deduction plan, through which you arrange to repay a loan, is a common payment method and is permissible under the Rule.
Require you to use as collateral certain household and uniquely personal items that are of significant value to you but are of little economic value to a creditor. Such items include appliances, linens, china, crockery, kitchenware, wedding rings, family photographs, personal papers, the family Bible, and household pets. (These were called "household goods security" clauses.) However, if you borrowed money to buy any of these household or personal items, and use the items as collateral, the creditor can repossess the purchased item if you do not repay the loan.
What contract provisions are prohibited?
The Rule prohibits creditors from including certain provisions in their consumer credit contracts. Specifically, credit contracts no longer can include provisions that:
Require you to agree in advance, should the creditor sue you for non-payment of a debt, to give up your right to be notified of a court hearing to present your side of the case or to hire an attorney to represent you. (These clauses were often called "confessions of judgment" or "cognovits.")
Require you to give up your state-law protections that allow you to keep certain personal belongings even if you do not pay your debt as agreed. (These clauses were called "waivers of exemption.") State law generally allows you to keep your home, clothing, dishes, and other belongings of a fixed minimum value. However, when the debt incurred is to purchase an item and that item is used as security for the debt, it is permissible under the Rule for a creditor to repossess that item.
Permit you to agree in advance to wage deductions that would pay the creditor directly if you default on the debt, unless you can cancel that permission at any time. (These clauses were called "wage assignments.") However, a wage or payroll deduction plan, through which you arrange to repay a loan, is a common payment method and is permissible under the Rule.
Require you to use as collateral certain household and uniquely personal items that are of significant value to you but are of little economic value to a creditor. Such items include appliances, linens, china, crockery, kitchenware, wedding rings, family photographs, personal papers, the family Bible, and household pets. (These were called "household goods security" clauses.) However, if you borrowed money to buy any of these household or personal items, and use the items as collateral, the creditor can repossess the purchased item if you do not repay the loan.
Send a letter to them revoking the wage assignment and give a co
Send a letter to them revoking the wage assignment and give a copy to your HR. The assignment is NOT irrevocable..that is just the company BSing.
thanks i wasnt sure since it said it was irrevocable in the cont
thanks i wasnt sure since it said it was irrevocable in the contract i signed
Oh they will put it there, but it doesn't matter as it is a righ
Oh they will put it there, but it doesn't matter as it is a right they can't force you to sign away.
Here is a good thread about wage assignments and even a sample l
Here is a good thread about wage assignments and even a sample letter to revoke such assignment. Apparently the laws for this are federal, not state.
http://www.debtconsolidationcare.com/revoke-wageassignment.html