Judgement-then how long to take bank account?

[anykey]

*Note* Most bank account seizures happen either on Friday or the 3rd of the month. Want to guess why?

WOW! The 3rd because Soc Sec pays then. Friday because of payday.

Something to think about.

[junker]

but the 3rd is a waste of time,,because ss is exempt anyway...which means they know it and just want to screw with you...and make you go through procedures to get it back....

[anykey]

but the 3rd is a waste of time,,because ss is exempt anyway...which means they know it and just want to screw with you...and make you go through procedures to get it back....

Yes but my mortgage is due then. I am current on that. Many people have direct deposit. I don't. oops.

[Bell30656]

Junker, you and I know that the third is a waste of time because social security is exempt but most people that lose a chunk of money on the third don't know that. The debt collectors do it because it works. Sure, every once in a while they have to give the money back but most of the time? That money is theirs once it reaches their hands.

[jacko]

That is why I time my deposits. During the second and third week of each month, I mail in my deposits at up to $300 at a time on a Friday for deposit on Monday and on Monday for a deposit on a Wed. My bank does not hold up the deposit for the checks to clear. I bill pay, the remaining to my paypal and ATM withdrawal. The bank reimburses monthly for ATM fees.

WOW! The 3rd because Soc Sec pays then. Friday because of payday.

Something to think about.

[junker]

IF your funds ARE exempt, such as va, or ss, or ssi or whatever, this letter MIGHT help

exemption letter

--------------------------------------------------------------------------------

i just received a form letter from Legal aid in California..showing how to advise your bank ..IF..the funds in the bank are truly exempt..it says....

use this letter if the only income directly deoposited into your account comes from the social security administration or from some other types of public benefits(in which case adjust the wording accordingly).if other funds go into the account, its balance is protected only up to $2,700(4050 if the account belongs to two beneficiaries).
your name
your addres
city,state,zip
date-----
xyz bank
adddress

re account no........
I we am/are the holders/s of a checking/savings account at your bank.All of the funds/Funds(__choose which is correct depending on whether there are other funds deposited into the account as well) in that account are deposited directly by the Social Security Administration.(or other exempt source)
This is to notify you that should you receive any form of legal process by a third party asking to levy on my/our account, I/we/am/are entitled to an exemption without making claim, under provisions of federal law and California Code of Civil Procedure, section 704.080, in the amount specified in the statute. Your attention is further directed to Murphy vs. Wells Fargo Bank, San Francisco Superior Court case NO 978007, final judment December 9,1997, and also Cooper vs. Bank of America Nt. & s.a. Los Angeles Superior court, no BC 129502, in which the defendant banks agreed not to place a freeze or hold of any kind on a Social Security direct deposit account or assess a fee when the bank is served any form of notice of levy.
This is to advise you further that I/we rely on the current availability of the funds deposited in the account to furnish me/us with basic necessaries. Failure on your part to honor the exemption in violation of the statute for any period of time could result in serious consequences to me/us.
Sincerely,
your name 2nd signature, if applicable

[junker]

also send this letter BEFORE any possible lien...dont wait until after you have your accts drained....

[ApresMoi]

THANK you for this. I called Legal Aid in CA last week (or some branch I was referred to) and was told no one was available until 2nd week in January (coming up). I don't think I am at GREAT risk, as I stopped paying only 3 months ago, but you never know. I am already very nervous about depositing funds into my accounts. Two questions:

IF the letter is on file, will the bank honor it? Are they legally obligated to?

Second, in CA, unemployment benefits are NOT direct deposited (as social security is). Instead, I take the checks to an ATM machine and deposit them manually (the check goes in the envelope along with a deposit slip from my check register). Btw, this is an 'affiliated' ATM machine, one that has an agreement with my bank not to charge its customers a fee for the machine's use (limited to 10 transactions per month).

So a) will the bank honor my letter, and b) does the fact that CA not does not deposit my unemployment benefits negate the protections i would otherwise have under CA law?

IF your funds ARE exempt, such as va, or ss, or ssi or whatever, this letter MIGHT help

exemption letter

--------------------------------------------------------------------------------

i just received a form letter from Legal aid in California..showing how to advise your bank ..IF..the funds in the bank are truly exempt..it says....

use this letter if the only income directly deoposited into your account comes from the social security administration or from some other types of public benefits(in which case adjust the wording accordingly).if other funds go into the account, its balance is protected only up to $2,700(4050 if the account belongs to two beneficiaries).
your name
your addres
city,state,zip
date-----
xyz bank
adddress

re account no........
I we am/are the holders/s of a checking/savings account at your bank.All of the funds/Funds(__choose which is correct depending on whether there are other funds deposited into the account as well) in that account are deposited directly by the Social Security Administration.(or other exempt source)
This is to notify you that should you receive any form of legal process by a third party asking to levy on my/our account, I/we/am/are entitled to an exemption without making claim, under provisions of federal law and California Code of Civil Procedure, section 704.080, in the amount specified in the statute. Your attention is further directed to Murphy vs. Wells Fargo Bank, San Francisco Superior Court case NO 978007, final judment December 9,1997, and also Cooper vs. Bank of America Nt. & s.a. Los Angeles Superior court, no BC 129502, in which the defendant banks agreed not to place a freeze or hold of any kind on a Social Security direct deposit account or assess a fee when the bank is served any form of notice of levy.
This is to advise you further that I/we rely on the current availability of the funds deposited in the account to furnish me/us with basic necessaries. Failure on your part to honor the exemption in violation of the statute for any period of time could result in serious consequences to me/us.
Sincerely,
your name 2nd signature, if applicable

[ApresMoi]

also send this letter BEFORE any possible lien...dont wait until after you have your accts drained....

Oh, I just noticed your statement that the letter "MIGHT" help. So did legal aid recommend using this, but also say it wasn't fail safe? The thing is, I know the funds are exempt, but if they seized the account it could take a very long time to get the funds back. I am holding several unemployment checks out of fear that I might not see them ever again if I put them in one of my accounts. If I had assurances this letter would stop them, I would have not qualms about making the deposits. I'm in CA too, btw.

[bkpain]

A while back (several years) I won a judgment against someone in Michigan, they had 30 days to pay me in full at the end of the 30 days I had no payment. I went to the court house and paid for a copy of the judgment took it to her bank and they paid me out of her account right then and there. Needless to say she was really mad when she found out but it was quick and easy for me to collect my money.

[dscurlock]

I am just curious.. I know everyone is worried about their accounts being taken..
but do you really need an checking account these days to be taken? After all,
grocer stores normally sell these loadable visa cards that you can load up with
cash..and you can pay most bills online with the card...I am not sure if morgt
compaines are setup to take online card payments, if not they should be...I would
think that 95% of our purchases these days are with a debit card, and not a check.

[Violet]

Once they get a judgment and seize your account, how long do they actually have their claws on it? If they get access to it, and there is only $3 in it, do they have to file again to gain access to it a second time? I'd like to hang onto my checking account because I occasionally sell something on Amazon. They only way they'll pay you is through your checking account. I can't keep opening and closing accounts. How does this work?

[treehugger1]

States have their own laws and statutes. For instance, in Oregon the bank writ of garnishment only serves to garnish funds at the time the writ was received by the bank. If the writ is received after closing time, then teh writ is only good for the next day. It is a one time shot per writ. If they only get $3, then they need a new writ to levy for another day. This can get really expensive for the plaintiff in a state that does not "freeze" bank accounts, such as Oregon.

I think the idea of sending the bank a letter stating all funds are exempt, and a reason to back up your statement can't hurt. It puts the bank on notice.

On the other hand, here in my state it appears a debtor's declaration of exemptions only has legal clout once the writ has been obtained. Once a garnishment is in effect, the debtor can file a "challenge to garnishment." There is an official form here in my county circuit court district. I think the point is that if the garnishment is not legal, the debtor has the right to have their money/assets returned in a timely manner. Still, it wouldn't hurt to have a discussion with your bank unless you think the bank would prefer to close your account rather than deal with your possible legal issues.

[Violet]

States have their own laws and statutes. For instance, in Oregon the bank writ of garnishment only serves to garnish funds at the time the writ was received by the bank. If the writ is received after closing time, then teh writ is only good for the next day. It is a one time shot per writ. If they only get $3, then they need a new writ to levy for another day. This can get really expensive for the plaintiff in a state that does not "freeze" bank accounts, such as Oregon.

I live in Michigan, but my bank is in Minnesota. Which laws do they follow then?

From the Minnesota Office of Attorney General:

Length and Amount of Garnishment. If you don’t claim any exemptions, creditors can take part of your paycheck for the next 70 days. Excluding child support, you get to keep either 75% of your net wages or 40 times the minimum wage, whichever is greater.

It looks like they'd need to renew it after 70 days. And I have far less than 40 times the minimum wage in my account!

[treehugger1]

I would guess they will abide by the laws of the state where the judgment was created. I am no attorney. If the judgment was obtained in yoru state and the writ is issued through your state courts, then I would think the garnishee (bank) will need to follow your state's statutes. Again, I'm no expert.