Will consolodating my debt stop garnishing

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Basically, the DMP plays policeman, taking your monthly lump-sum payment and distributing it to your creditors until the accounts stand at zero. According to Greenberg, less than 35 percent of the people who call consumer credit counseling agencies truly can benefit from a DMP. This is a numbers fudging claim that holds true only in the narrowest of circumstances.

For instance, if you miss two 0 payments on a ,000 balance, the third month's bill will make it 0 that you owe.

Wage garnishment occurs when an employer is required to withhold an individual’s earnings for the payment of a judgment based on a court order or the order of a government agency (i.e. If you’re being threatened with garnishment, or if your wages are being garnished, don’t panic.

Here’s what you need to know about garnishment and how to avoid or stop it altogether.

They are:1) Fines imposed by a Court;2) Debt incurred by misrepresentation (fraud);3) Alimony or maintenance payments;4) Debt for damages imposed by Civil Court for intentional bodily harm, sexual assault or wrongful death;5) Student loans, if bankruptcy occurs within 7 years of ceasing full or part-time studies.

Certain kinds of debts are not erased by bankruptcy.

a mortgage or vehicle lease) if there is no equity in the secured asset. By law, all actions against you must cease once the bankruptcy documents are filed.

Also, bankruptcy does not generally interfere with secured debts (i.e.

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Problems like this, if neglected, often affect a person’s work and most regrettably cause severe hardship on families. In a bankruptcy, if you have significant assets, a notice is placed in the “legals” section of the newspaper notifying creditors of your bankruptcy.A creditor has to follow certain procedures in order to garnish your wages.They must first file a suit in court to obtain a garnishing order. If a creditor wins the suit, they can petition the court to have your wages Wage Garnishmentgarnished.Also, if you ever have questions or need FREE advice about your student loans, you can always contact your Department of Education loan servicer. Switch Your Repayment Plan You may be able to lower your monthly student loan payment by switching to a different repayment plan.Use this calculator to compare what your monthly payment amount could be if you switched your plan.

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