Best Answer

All SS benefits are exempt from private creditor action (benefits may be garnished for back alimony, child support, unpaid federal taxes and amounts due other federal agencies), most pension/retirement plans are also protected, although it is possible to garnish a portion of certain types. In regards to a bank account, if the account(s) are within the U.S. and are not held by a married couple in a state that recognizes TBE protection; the accounts could be subject to creditor levy if said creditor was awarded a lawsuit judgment. As an aside, any non-exempt property belonging to the debtor could be seized and liquidated or if real property be subjected to a lien(s)and possibly a forced sale. The debtor/defendant does not have to present in the U.S. to have a creditor lawsuit initiated and ruled upon, the defendant can have a default judgment entered against him if the plaintiff prevails.

It is important to note that once a Social Security payment has been deposited into a bank account (either by check or direct deposit) it is no longer protected.

User Avatar

Wiki User

โˆ™ 2015-07-14 16:04:20
This answer is:
User Avatar
Study guides

Credit and Debit Cards

20 cards

The law is derived from three main sources what are they

If there is an erroneous payment then

These funds last 5 years have limited use and cannot pay for new obligations

How do you know which transactions are awaiting your approval

See all cards

Credit and Debit Cards

21 cards

The law is derived from three main sources what are they

If there is an erroneous payment then

These funds last 5 years have limited use and cannot pay for new obligations

How do you know which transactions are awaiting your approval

See all cards

Math and Arithmetic

20 cards

Please Evaluate this algebra expression -4 -3

Joe borrowed 8000 dollars on a one year note at 13 percent how much will joe owe when the note comes due

How much time will a 500 investment need to earn 100 in interest at a rate of 10 percent per year

1000 dollars in a savings account pays 7 percent interest per year The interest earned after the first year is added to the account How much interest is earned on the new principal the following year

See all cards

Add your answer:

Earn +20 pts
Q: Can a credit card company garnish your Social Security and state retirement benefits or freeze your USA bank checking account while living abroad?
Write your answer...
Related questions

When do you get you retirement check?

My retirement annuity check was shorted by $1000.00. Where is it?

Will I lose my retirement accounts or payments from social security if I file for bankruptcy?

Generally, no. Retirement accounts that are ERISA-qualified aren't considered property of an estate and cannot be taken. Social Security benefits are generally protected from assignment, or garnishment for debts in bankruptcy. The Social Security Administration's responsibility for protecting benefits against legal process and assignment usually ends when the beneficiary is paid. Once paid, the benefits continue to be protected only as long as they can be identified as Social Security benefits. For example, money in a bank account where the "only" deposits into the account are direct deposits of Social Security benefits are "identifiable" and generally protected.

Can a credit card company garnish retirement wages specially government retirement and VA disability?

No, under Federal law most Federal benefit payments like Social Security benefits, Supplemental Security Income benefits, Veteran's benefits, and Railroad Retirement benefits are not subject to garnishment. They are exempted funds when deposited in your bank account and only lose that status if moved into any type of investment product, even a bank certificate of deposit (CD).

What institution has the most benefits for a checking account?


For a small business, what are the benefits of opening a business checking account rather than using a personal checking account?

There are several benefits from opening and maintaining a business checking account rather than using your personal checking account. When you use a business checking account you are segregating your business funds from your personal funds, thus creating better organization for your business. Also, having the business checking account will help at tax time because all your business transactions will be within the business checking account and there will be no need to sort through your personal transactions. Finally, the business checking account will allow you to use a taxpayer identification number (TIN) so the funds can legally be owned by your business, instead of using your social security number on the checking account. For a small business, opening a business checking account allows you to get more interests. In addition, transactions are processed faster compared to a personal account.

Can you have a 401k and deceased husbands 401k and receive ss?

Yes. Having a retirement account such as a 401k or an IRA will not affect your ability to draw social security benefits.

Can you use social security benefits for gambling?

Once you have placed money into your checking account from Social Security it is yours to use wherever you would like. You've earned that money, go nuts!

What are some benefits to a free online checking accounts?

Benefits to having a free online checking account is you don't need to worry about possible fees that might be present like a regular account. Also, you can have easy access to your checking account information online.

What are the benefits to a student checking account?

The benefits of having a student checking account are higher interest rates (minimally), lower maintenance level balances, and less fees predominately.

What are some benefits of having a personal checking account?

Some of the benefits of a personal checking account are keeping track of your money. You also have the ability to pay for things with a check and then you will have a record.

Where can you find banks that have a free checking account?

Most all banks have a free checking account option. You must be at least 18 years old to apply for a free checking account. It is required of you to have a job, or be in college in order to get the full benefits of a free checking account.

What is needed to apply for a checking account?

Social Security Number

What forms of identification do I need to open a checking account?

When I opened my checking account I had to present a current texas drivers liscense, and my social security card.

What happens to a checking account with two signers when the funds are Social Security income belonging to the mother and the daughter files bankruptcy?

All Social Security Benefits are exempt from bankruptcy proceedings. If the daughter has no monies in the account then the account will not be a part of the BK. However if funds were commingled there could possibly be a problem with determining ownership amounts.

Can a judgment be put on a checking account which is a pension deposit?

Generally pensions are not garnishable. Social Security, Railroad Retirement, military and governmental pensions, all types of disability benefits and public assistance benefits and other federal pensions are exempt from creditor action. Whether or not private pensions, (401K's, etc.) are subject to creditor action is determined by the excemption status allowed under state law.

What kind of information is usually required to open a business checking account?

Your social security number and tax ID are required to open a business checking account.

What are the benefits of an Orange Checking account?

First of all, there is a sign-up bonus of $50 when you create an Orange Checking account. Secondly, there are no fees associated with the account. And finally, there is no minimum balance required.

What is the best kind of checking account to have?

The benefits of a bearing checking account is that if there are errors of overdraft you can dispute them better but overdraft protects the person from paying more in the long run.

What are some benefits of a 401K retirement plan?

The benefits of a 401k retirement plan are that you pay pretax money to your account. You get special tax breaks for a 401k, and some employers will match what you put in 401k.

Can you open a checking account for your dad who is disabled and can not make it to the bank and deposit his retirement and social security checks for him every month?

Only if you have a power of attorney which allows you to perform banking activities on his behalf and if you listed as the representative payee with the Social Security Administration to receive and endorse checks on his behalf.

What free benefits are included in a Chase checking account?

"Free, online banking, a free debit card and free checking accounts are benefits at Chase. Chase also offers free direct deposits for their checking accounts."

what are the benefits of an interest bearing checking account?

In todays world many checking accounts carry a monthly service fee. Of course, printed checks also cost you money. An interest bearing checking account can pay you and offset the expenses of having the account.

What are some benefits of a high yield checking account?

A high yield checking account will allow you to make more interest off of your money provided that you have enough money invested to qualify for a high yield account.

Do Colorado teachers pay social security tax?

No, Colorado teachers pay into an "independent" retirement account and are exculded from social security.

What are the benefits to a high interest checking account?

Consumers who have a high interest checking account will receive more interest over time. However, this does depend on how big the deposits are and how much time has elapsed since the account is opened.