When you have your wages garnished, this means a debt collector or agency is attempting to collect a debt you owe. There are a number of reasons your wages may be garnished. One of the most common reasons is due to child support, but you may also have a wage garnishment when you owe a credit card bill or have back taxes.
Keep in mind that each state is going to be a bit different when it comes to the laws related to wage garnishment. For those in Minnesota, here are a few things you will want to keep in mind when it comes to wage garnishment.
You Must Receive Notice
Creditors are required to send debtors a notice of garnishment. This is something that must be sent to the debtor at least 10 days before the creditor begins garnishing your wages. However, after this notice is sent, no further documentation is needed before the creditor can begin garnishing your wages. This notice is good for one year.
How Much is Allowed?
Typically, creditors are not allowed to take more than 25% of your disposable wages. This refers to the amount of money that is left over after all necessary legal deductions are taken. Also, if you make less than $290 per week, creditors are not allowed to take any deductions. Keep in mind that this rule does not apply in cases of child support.
There are Exemption Options
With any wage garnishment, it is possible to apply for an exemption. This exemption must be filled out and filed in an appropriate amount of time, usually within 10 days of receiving your wage garnishment notification. However, keep in mind that even if you are approved for an exemption, your creditor could request a hearing if they believe the exemption is not warranted.
These are just some of the things you should know about wage garnishment. To discover even more information, contact us today. We will help you determine what your rights are and help you best deal with a wage garnishment.