what can be garnished?

[brokeone]

Hello again everyone,
When you guys/girls get a chance,would you please tell me if social security and military retirement can be garnished to pay credit card company? I am in same boat that you are well aware of.Always paid on time,never a late fee,etc.,but new minimum is going to nail me because I simply can not pay the doubling of my minimum payment due.Will the bank/credit card company be able to take my military retirement and/or social security to pay the credit card payments?Thanks in advance to all who give me their thoughts.
brokeone

[HHM]

I know for certain that Social Security cannot be touched.

Military retirement on the otherhand, I do not know. My guess is, probably not, but you need to find the exemption that covers it. It probably won't be in your states exemption law but buried somewhere in the act that authorizes military retirement.

[brokeone]

Thanks HHM,
What irks me is the fact that I'm more than willing to pay what I can,but the card companies don't care.If I can keep my retirement & soc.security,I can keep my home.I would prefer to work out an excellerated payment plan with the CC companies but when my minimums double there's just no way that I can pay that kind of money per month.I brought this on myself,and hope I don't end up on the street.Thanks again.
brokeone

[Viper]

Just some food for thought...

While they cannot garnish your SS and possibly your military benefits, they can however, after getting a judgment, seize your bank account(s). It would then be up to you to prove where that money came from, but in the meantime you would have no access to those funds.

I am not a lawyer, this is just what I have learned from my own research. The mod's here are great and will correct me if I'm wrong or have missed anything.


-Viper

[brokeone]

Thanks Viper,
I just don't know how to start protecting myself & family.My funds are placed in my bank account electronically.I'm wondering if I can get the government to start sending my checks to me again,if I could,I could cash them,pay my mortgage,and try to sell the house & pay off my debts.We were getting in trouble with the 2% minimum.Sometimes we'd pay an extra hundred,but the interest rates kept creeping up,& we were just holding on.If the 2% remained in effect we would be paying forever like so many others,but we wouldn't be looking at not being able to pay the minimum like we are with the 4% minimum.Do you know what the mortgage company will do to us when they learn that even though we are paying our mortgage,we will not be paying our credit card debts?I agree that the mods are great.As of this writing we have never missed any payment on mortgage or credit cards.We've never been hit with late fees or anything,but I'm pretty sure all of that is going to change with the 4% rule coming in.Thanks again.
brokeone

[Viper]

I'm wondering if I can get the government to start sending my checks to me again,if I could,I could cash them,pay my mortgage,and try to sell the house & pay off my debts.

I don't see why you couldn't set that up. Make some phone calls and see.

Do you know what the mortgage company will do to us when they learn that even though we are paying our mortgage,we will not be paying our credit card debts?

I don't think there is anything they can do. As long as you don't default on your contract with the mortgage company they will be more then happy to accept your money.


Some ideas you might want to consider, I don't know if any of these will help you but here goes.

1 - if you have any equity in your home, take a 2nd mortgage or refi your 1st and get some money to pay off your CC's.

2 - Check out a credit counseling service. They may be able to negotiate a low to no interest repayment plan with your credit cards.

3 - Worst case, if you plan on keeping your house, file chap 13. You will end up paying 100% of your debt but interest will stop and you will keep your house.


Also FYI, your bank accounts cannot be touched until after a judgment is granted. You will be served with a summons (as long as they know where you live). So that being said there should be no surprises, you will know when it's coming.


Hope this helps.

-Viper

[brokeone]

Hello Viper,
Thanks again for taking the time to help me.I will get started on some of your suggestions on tuesday.I think monday is a holiday in some areas.

brokeone