After a financial obligation collector sues you for the financial obligation and wins a judgment, it could get a court purchase for the bank or credit union to make over funds from your bank account or card that is prepaid. That is called a вЂњgarnishment.вЂќ A U.S. Department of Treasury guideline requires banks to immediately protect specific federal advantages of being frozen or garnished if they’re direct deposited into the account. There are a few exceptions to the rule, that are explained below. Learn about the way the automated security works.
Advantages included in this guideline:
Your credit or bank union must immediately protects 2 monthsвЂ™ well worth of benefits
If a collector attempts to garnish money in to your account, your bank must have a look at your account history to see in the event that you received some of the benefits that are above direct deposit within the last few 2 months.