Can a credit card company garnish wages in the state of Michigan?

Answer 1

You will have to review the laws regarding the transaction in the state where the credit card was issued. I am inclined to say yes but your garnishment may be reduced due to certain criteria including what is determined by "disposable income" . They can do this only after obtaining a judgment against you for the amount due plus fees that are applicable in your state. Also, judgments may still earn interest in your state and you will be required to pay that as well. Usually you will be charged a fee by the constibule or court officer for his efforts in obtaining and monitoring the garnishment, again refer to the statutes in your state regarding wage garnisments. If you are being sued your best option is to speak to the creditor and try to settle the debt. Usually credit card issuers will accept 60% of the balance due and you can pay the settlement amount off on a monthly payment plan enabling you to salvage your credit. If you enter into an agreement of this nature get it in writing as you will be able to have a record of the deal and after it is complete get a settled in full letter. Keep it for 7 - 10 years as you may need to refer to it should the balance on the account get sold to a third party and collection attempts are made. The original creditor will be bound by your agreement and you will be able to validly dispute the claim. Salvatore Mattiaccio

President

The Lakeland Group, Inc.

P.O. Box 20

Sparta NJ 07871

(973) 729-2372