what are my options

[chris waford]

Today I got a "Notice Of Rights To Assert Exemption To Wage Garnishment," from Discover card in the mail. I read it and it says they are going to start garnishing my check $380.25 a check. I get paid every two weeks. This is the first notice I've got from Discover in 4 yrs and can't understand why I never got the chance to dispute the total ($6008.15 on a $1000 max cc.) At this point what do I need to do so they don't start taking 40% of my check? Do I need a lawyer?

[soleprop]

wwwwwwow. yup i'd get a free consult from a lawyer for sure. if it was me i'd be filing bk before the next check :P.

[BKParalegal]

If that is his only debt, I wouldn't be running to the BK court to file over that. Call the creditor and see if you can negotiate a payment plan. The only way they can garnish you is if they were awarded a judgment. And the only way they got a judgment was that they served you lawsuit papers for a court hearing at some point in your life. Although there are some states that allow creditors to garnish from an arbitration award, but once again you had to have been served papers.

Good Luck

[soleprop]

you're right, bk - to the OP - i meant if it was me - literally - i'd be filing bk. but that's because my situation couldn't tolerate that kind of garnishment - i'd be homeless.

[JRScott]

If that is his only debt, I wouldn't be running to the BK court to file over that. Call the creditor and see if you can negotiate a payment plan. The only way they can garnish you is if they were awarded a judgment. And the only way they got a judgment was that they served you lawsuit papers for a court hearing at some point in your life. Although there are some states that allow creditors to garnish from an arbitration award, but once again you had to have been served papers.

Good Luck

Unless the papers were delivered to the wrong person or the wage garnishment has been sent to the wrong person.

However at this point your going to have a hard time getting out of this.

Have you checked the wage garnishment laws of your state?

Have you checked the statute of limitations in your state?

I don't think any American can take 40% garnishment and survive. It might be wise to see a few BK attorneys, however if they can legally garnish 40% of your check your income is going to be to high to probably quality for a chapter 7. If I might ask what is your state of residence and your income level (gross income)?

[BigJohn]

Today I got a "Notice Of Rights To Assert Exemption To Wage Garnishment,"

This might be a creditor who is on a fishing expedition to see if they have the correct debtor. The wording they use might not mean they actually got the garnishment. Have you tried checking the various courts to see if something actually did occur?

[WhatMoney]

The maximum wage garnishment allowed by law for unsecured debt in any state is 25%. So I don't know how you are calculating 40%.

Did you receive a summons from your local court with Discover as the plaintiff? You need to check your local county court records. If so, and the result was a money judgment against you, you are pretty much out of luck unless you change employers.