Wage garnishments and collections

hollowmason64 said:Wait, how can you think they wouldn't send a notification before freezing someone's wages? 😲

Well, if you’re asking whether the debt collector sends you a heads-up—they don't—not if you miss the window to appeal. Once that happens, a copy of the garnishment order is sent directly to your employer's payroll department to be executed... so, I guess the only person who might actually give you a subtle hint that things are getting serious is your boss, letting you know they received the order and will be deducting it from your check...

Chloe Murphy3 said:@ strasna mama

The judgment for enforcement breaks down like this:

1) the principal amount (the actual balance you sued over), say $167 (listed as "VPS" in the judgment) — interest starts running from when each individual bill was due, which is noted right at the start of the document

+
2) everything else listed AT THE BOTTOM of the judgment, which is:

attorney fees for drafting the motion (x dollars + tax)
clerk fees (x dollars + tax)
postage/service fees (x dollars + tax)

interest runs on all that stuff starting from the day the judgment was issued (usually the same day the motion was filed—look for the "received on date xy" stamp on page one

+

if you don't pay within 8 days of getting the judgment or if you don't file an objection

3) the remaining costs, which look like this:

finality clause fee $10 + tax
review of finality clause $83 + tax
drafting fees for serving notice to parties involved in the enforcement (x dollars + tax)

= total cost.

So, if you pay within 8 days, you just pay 1+2.

If you pay after 8 days without filing an objection, you're stuck paying 1 + 2 + 3.

Alright, so what am I supposed to do when the paperwork only gives me the info for a standard PBS payment slip instead of specific details for the law firm or the notary? How am I even supposed to pay parts 1 and 2 separately?

Quick question for you all:
I got home today and found this recycled paper envelope sitting in my mailbox, sent from a major debt collection agency and addressed to me. When I opened it, I was stunned to find a payment slip made out to my father, who passed away nearly ten years ago now. It’s for interest and legal fees regarding some old lawsuit, number xxxx. The crazy part is, in all these years, we never received a single warning or any notice about a legal dispute involving the garage my father owned. After he passed, my mother took over, and I've been managing things for seven years since her passing.
What should my next move be here? Isn't there such a thing as a statute of limitations on this kind of stuff?

John Clark6 said:Well, if you’re asking whether the debt collector sends you a heads-up—they don't—not if you miss the window to appeal. Once that happens, a copy of the garnishment order is sent directly to your employer's payroll department to be executed... so, I guess the only person who might actually give you a subtle hint that things are getting serious is your boss, letting you know they received the order and will be deducting it from your check...

But yeah... you still receive the actual writ of execution itself, which gives you the choice to either file an appeal or just settle the debt.😁

vividraven26 said:Alright, so what am I supposed to do when the paperwork only gives me the info for a standard PBS payment slip instead of specific details for the law firm or the notary? How am I even supposed to pay parts 1 and 2 separately?

You think they just padded everything? I mean, this is a notary's decision, but the proposal came from a lawyer? I gotta say, I've never seen anything like that before.

But, I guess, basically, there should be a copy of the certified document attached to the proposal. Based on that, you could probably figure out the exact amount by looking at the attorney fee schedule and maybe checking in with the notary to verify the costs—just a little math, I suppose.

So, NBC sent everything over to Hanžeković and JPMorgan Chase. Now JPMorgan Chase is saying the payment should go to the NBC account... here's the number... the reference... the total amount... and honestly, everything looks fine on the surface. But then it says they need to "provide confirmation of the full payment (principal, interest, and fees) to the creditor's representative." Does that mean the whole damn thing goes on one single payment slip to NBC, or am I missing some other info for a separate one? I already know exactly how much needs to be paid. Also, does Hanžeković get a copy of the receipt, or does it go straight to JPMorgan Chase?

aha. ok.

Just pay everything into the HR account and fax the slip over to Hanzekovic—you can find their fax number on the proposal. Honestly, you should probably call them in a day or two just to make sure they actually handled it. Like, check if they pulled the notary fees. They deal with a massive backlog and an insane amount of faxes, so it doesn't hurt to be a little paranoid. You don't want someone overlooking it and having the whole damn thing automatically charged to your Fidelity account. Just be ready to wait on hold forever because everyone calls them constantly. But hey, they stay open until 6 PM, so just hang in there.

And seriously, MANDATORY: when you fax it, make sure you clearly state which file number it’s for in the top left corner (under "Our Ref:...").

Watch out, though—if you just fax the payment slip without warning, they might treat it like a formal dispute and rush the whole thing to court. Better to just call the notary directly and confirm they got the funds.

Alright, fine. I’ll just let them know everything’s been squared away and tell them to hit the brakes on this whole thing.

Hey everyone. I’m in a bit of a bind here and could really use some quick advice. I stopped by JPMorgan Chase earlier today to check if my paycheck had cleared, only to find out that my employer accidentally sent my entire salary to an unprotected account, and now everything has been swept into Fidelity. Is there any way to fix this kind of mess? Also, does anyone know what kind of trouble the employer or their accounting department might face for a mistake like this? I’m honestly feeling a little lost on who to reach out to, so I figured I’d turn to you all... I would be so incredibly grateful for any help you can provide as soon as possible.

mellowscout7 said:Hey everyone. I’m in a bit of a bind here and could really use some quick advice. I stopped by JPMorgan Chase earlier today to check if my paycheck had cleared, only to find out that my employer accidentally sent my entire salary to an unprotected account, and now everything has been swept into Fidelity. Is there any way to fix this kind of mess? Also, does anyone know what kind of trouble the employer or their accounting department might face for a mistake like this? I’m honestly feeling a little lost on who to reach out to, so I figured I’d turn to you all... I would be so incredibly grateful for any help you can provide as soon as possible.

Did you actually set up a protected account, and did Fidelity even notify your employer about the account number?
If your boss never got official notice about a protected account being active, they wouldn't have had a way to deposit it there in the first place.

It happens, people mess up transfers all the time. Once that money leaves Fidelity, you aren't seeing it again—it’s just gone. Your only hope is getting it back from your employer. They screwed up, and if they’re actually decent humans, they should cover the mistake themselves. I mean, whatever, someone in accounting tripped up and they'll be the ones feeling the heat.

If an account gets seized, who gets paid first—JPMorgan Chase or the government clearinghouse? If money flows into the account, does JPMorgan Chase grab it first to cover a negative balance, or does the clearinghouse take priority? Thanks for the help.

I am seeking some advice. Five years ago, I agreed to co-sign an auto loan. Up until two months ago, the primary borrower was staying on top of all payments perfectly. Now, they’ve informed me that I need to go to a local bank and set up a protected account because my paycheck of $867 is at risk. From what I’ve read, it seems impossible to establish that kind of protection before the funds actually hit my account. The total debt currently stands at 3 $0.00 (due to two missed payments). My question is: am I responsible for paying off the entire remaining balance of the loan right now, or just the overdue amount of $1000? Additionally, if the primary borrower finds employment in the meantime, does the situation revert to how it was? Does the primary borrower simply resume their regular payment obligations as they did before?

ruggedmaker2 said:Did you actually set up a protected account, and did Fidelity even notify your employer about the account number?
If your boss never got official notice about a protected account being active, they wouldn't have had a way to deposit it there in the first place.

The protected account is all set up, and my first paycheck went through perfectly—one-third hit my regular account and two-thirds went straight to the protected one. But this time around, it looks like there was a major screw-up in the accounting department. Is there any way to fix this? Can I file a lawsuit or something similar if they don't sort it out...??

You don't need to jump straight to a lawsuit. Just take a breath...
Look, banks have a standard procedure for this exact mess. It’s basically a template for the employer. They just fill out a statement detailing the total salary, how much is protected by law, and how much is being garnished.
Once that gets faxed over to the bank, they can move the protected portion into a protected account for you.

I know this is 100% how it works because I actually handled this for a few employees back in the day. Their accounts were frozen on the very same day their paychecks hit, before all the paperwork for opening a protected account was even finalized.
The real question is how much that teller at the branch actually knows. If she looks clueless, ask for the branch manager. Or better yet, get someone from payroll—someone who actually processed the check and messed up—to fix it.

ruggedmaker2 said:You don't need to jump straight to a lawsuit. Just take a breath...
Look, banks have a standard procedure for this exact mess. It’s basically a template for the employer. They just fill out a statement detailing the total salary, how much is protected by law, and how much is being garnished.
Once that gets faxed over to the bank, they can move the protected portion into a protected account for you.

I know this is 100% how it works because I actually handled this for a few employees back in the day. Their accounts were frozen on the very same day their paychecks hit, before all the paperwork for opening a protected account was even finalized.
The real question is how much that teller at the branch actually knows. If she looks clueless, ask for the branch manager. Or better yet, get someone from payroll—someone who actually processed the check and messed up—to fix it.

I hear you, but looking at my transaction history, it's clear the money has already vanished—it went straight to the collection agencies! As for lawsuits, I honestly don't even know. I'm losing my mind here. My paychecks are months late, and when they finally arrive, it's usually at the very end of the month. I am living paycheck to paycheck, right on the edge, and God knows how much longer this will last or how long I'll be waiting for my own money to show up... if it even shows up at all. Accounting messed up, and then the collections agency messed up too, because I'm still dealing with a garnishment from AT&T that should have been wiped out ages ago. Now, to get that stopped, I have to go down to the agency to get some paperwork that costs money—money I don't have, I can barely afford groceries! Then I'd have to head to court just so a judge can tell them again that the garnishment was supposed to be stayed, so they'll finally return my funds and unfreeze my accounts. Everyone makes mistakes, but it feels like I'm the one paying the price for it all!

Look, just go in there and demand they fix it. Tell them the person who messed up needs to pay back that extra 2/3 they erroneously processed, especially since they knew perfectly well you have a protected account.
Honestly, I haven't spent much time digging through the fine print of the Fair Debt Collection Practices Act since I've never dealt with this specific mess myself, but do me a favor and check out sections 365 through 367. See how the law stands on their side—or lack thereof. Give them a little push; maybe some legal threats will actually get them to move.

Karen Bishop2 said:I am seeking some advice. Five years ago, I agreed to co-sign an auto loan. Up until two months ago, the primary borrower was staying on top of all payments perfectly. Now, they’ve informed me that I need to go to a local bank and set up a protected account because my paycheck of $867 is at risk. From what I’ve read, it seems impossible to establish that kind of protection before the funds actually hit my account. The total debt currently stands at 3 $0.00 (due to two missed payments). My question is: am I responsible for paying off the entire remaining balance of the loan right now, or just the overdue amount of $1000? Additionally, if the primary borrower finds employment in the meantime, does the situation revert to how it was? Does the primary borrower simply resume their regular payment obligations as they did before?

Sorry, I'm a little confused by one thing—why doesn't the person who actually took out the loan just sell the car to pay off whatever is left? Or better yet, why aren't you asking them to do that?
Do you realize that if they start garnishing your wages, the overall costs are going to end up being higher since they won't be able to cover the full monthly payment anymore?

Can someone please help me out here or at least point me in the right direction to find some answers?
I recently bought an apartment, and I've got the purchase agreement all squared away and filed with the IRS. Here’s the kicker, though: the place was held in fiduciary ownership by the bank. I ended up paying off that original loan with a much better deal from another lender, but the property is still technically under the fiduciary ownership of the firm that provided my initial credit. The contract was notarized, I have all the originals in my hands, and the company just has a copy.
On top of that, I've got this personal loan over at JPMorgan Chase. Honestly, there's a real chance I could lose my job soon.
So, can JPMorgan Chase actually pull the trigger on a foreclosure against an apartment that's still in the fiduciary ownership of another company? What kind of specific conditions or legal loopholes would they even need to hit to make that happen? Also, is it possible to take full possession of the place without the original contracts? I heard a rumor somewhere that you absolutely need the originals to get everything recorded properly in the county land records...

Possession goes to whoever actually moves in. You probably think you can just sign up as the owner or something? I guess JPMorgan Chase can't even start an eviction or foreclosure on that apartment while it's stuck in a trust. At least, that's my take on how they'd even try to pull that off. 🙂