How long after creditor judgment before they levy and/or garnish?

[peanut12]

Hello everyone,

I am trying to put off filing my BK until after I receive my tax return and can spend it on my BK lawyer and household expenses.

The issue is that I have a creditor suing me. I have managed to drag out the case, pro se, for over a year now. However, it may be coming to a judgment soon.

I live in Florida which recognizes tenancy by the entirety ( TBE ). So, all my bank accounts are held as TBE with my husband ( my husband is not being sued, debt is mine alone ).

I plan to withdraw funds from any bank accounts with my name on it if the judgment against me does happen. This is because, I have heard, that when a writ of execution is served on a bank, they freeze all accts with your social on them even if they are exempt funds - like TBE. Then you have to fight to get it back.

I also have all assets, including two paid off cars ( worth $9,000 together ) held as tenancy by the entirety. But again, I presume it is "take first, ask questions later"... so, even if they are TBE, they could be seized and I'll need to get a lawyer and fight for them.

In addition, I am head of household. I support myself and my husband ( he is in school ). So, in Florida, that makes me exempt from garnishment unless I specifically agreed to it... again " garnish first, and fight to reverse it after"?... That is the presumption I have been going on to protect myself.

So, my concern is... When the creditor does get a judgement...how long do I have before all that starts happening? I need to know how long I have to file the BK after I find out a judgement has been granted... I want to avoid all I mentioned above.

Thanks All!

[JessMN]

Well, I'm sure it varies from state to state and probably creditor to creditor, but My judgement was done at the end of December 2010 and I got the letter of garnishment in May 2011, filed BK on May 23rd, right before the garnishment was to start. So I guess that was 5 months...

[peanut12]

Hey thanks so much for sharing your experience JessMN. Did you and your employer get a letter? Or was it just sent to your employer? Did it have an option on there to challenge the garnishment before it started?

[Freddy03]

I'm in FL and here is a breakdown of my garnishment.

Stopped paying - Dec 2009
Civil Suit Served - May 2010
I answered suit and requested documents - May 2010
Response to my request - Aug 2010
Motion for Summary Judgment - Aug 2010
I requested Hearing - Aug 2010
Hearing set for October 2010
Hearing cancelled and set for Jan 2011
Judgment awarded - Jan 2011
Writ of Garnishment issused - March 2011
First check garnished - June 1 2011


Also you can not submit a HOH exemption to the court until the writ of garnishment as been issued. After you submit it the court will issue a hearing - during this time your wages can be garnished until the judge decides if you are the HOH.

[Freddy03]

Hey thanks so much for sharing your experience JessMN. Did you and your employer get a letter? Or was it just sent to your employer? Did it have an option on there to challenge the garnishment before it started?

Your employer will receive the writ of garnishment and you will receive a copy of it.

[JessMN]

Yes, I got a letter too. Honestly I don't remember what my options were as I knew I was filing bk.

[peanut12]

Thank you so much for sharing your experience Freddy. So, it sounds like, there would be time to challenge it before the garnishment actually started... according to how it happend in your case anyway. Did they try to seize any of your assets?

[Freddy03]

Thank you so much for sharing your experience Freddy. So, it sounds like, there would be time to challenge it before the garnishment actually started... according to how it happend in your case anyway. Did they try to seize any of your assets?

I did try to challenge it b/c I'm technically HOH b/c I bring in more but they issued garnishments for both employers but only DH's replied. I'm not sure why mine didn't reply. I think they sent it to the wrong address. I submitted the HOH exemption form on the day I received the judgment. I did not know it will only be addressed when the writ is issued. The judgment creditor did try to "work" out a payment plan first with me before they started garnishing.

On the garnishment I believe there was a 20-30 day date in which your employer had to reply. Dh's employer waited until the very last date to send the first check.

The judgment creditor did try to levy a bank account. Lucky for me that account was already closed. They did not try to take any other assets.

[peanut12]

Thanks Freddy... Do you remember how long after the judgment it took them to go after your bank account? I realize it may be different case by case..

[Freddy03]

Thanks Freddy... Do you remember how long after the judgment it took them to go after your bank account? I realize it may be different case by case..

With in 30 days - In FL they can levy bank accounts without warning.

[peanut12]

Ok, thanks!

[kornellred]

The process of attempting collection on money judgments is somewhat arbitrary. It depends upon how much money the debtor owes, how aggressive the judgment owner is, and the probability of success in collection efforts. After all, it costs the creditors a bundle to get the judgment in the first place, and that fact, along with the amount owed by the debtor, sets the pace. There are aggressive creditors who pursue debtors who owe small amounts, however.
That leaves the probability of success in collections as the major factor in the timetable. If a creditor knows that the debtor is going to file for bankruptcy, there is no point in obtaining a judgment, because it will be nullified by the automatic stay and eventually voided upon bk discharge. If a debtor just refuses to pay a debt and does nothing, chances are good that a money judgment is going to happen at some point before the statute of limitations takes effect.

Once the judgment is in effect and steps are taken to collect, there is little the debtor can do besides file for bankruptcy.

[goturtlego]

Do you know the name of thecompany that is sueing you? Have you tried to fight it (not admitting to nothing without them producing proof first)?