About to be sured for credit card debt

Social security is exempt from garnishment and bank levy.

Soaplady always has the right answers for us! Your creditors can't garnish your Social security income. However, they can garnish your wages or bank accounts only after they obtain a judgment against you.

Social Security is exempt from levy.
Issues with levy of exempt funds still do arise.

First a judgment must be entered in court. If this happens, and the plaintiff is not aware that your sole source of income is SSI, and they later request the court to levy bank accounts and it is granted, the levy is presented to your bank and funds are withheld from you.

If the only source of deposits into that account are easily identified as from SSI you will be able to point to that fact with bank management. If you have other non exempt funds deposited into that same account, it can become a bit of a hassle to get the funds (or a portion of them) returned to you.

If you later find yourself in the position to be concerned with this, you may want to open a separate account where all non SSI funds are deposited. You also may need to consider keeping a limited amount of funds in the non SSI account until you come up with a plan to resolve any judgment debt.

You may also consider outlining your financial situation with the court in a pre judgment filing if SSI is your only source of income. At least this fact is then part of the record. If you are unsure about how to go about doing so, connect with a low income legal aid office in your area.

Being prepared in this way can eliminate some potential frustrations for you.

Here is to you making the best of the situation!