Quick Answer: SSDI benefits are generally protected from wage garnishment, but banks can still freeze accounts containing these funds until the debtor proves the money’s source. The attorney advises disclosing any potential wrongful garnishment claims to the bankruptcy attorney, who may be able to exempt such claims from the bankruptcy estate.
“Dear Jeremy,
Can Chase Bank legally put garnishment on my bank accounts even after telling their lawyer twice once in civil and once in general sessions that my only income is from ssdi?I told him was unable to pay at that time. I had joined a debt settlement club prior to court visits In civil court the judge told us that was not the way to go.For 5 days in april 2011 i lived on 1 dollar and 47 cents I went thru the steps to get my money back and finally did. Can they legally do this and get away it?Since then i have filed for bankruptcy.After the bankruptcy case is over can i file a law suit against chase bank? thanks bill
Bill”
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Dear Bill,
Be sure to let your bankruptcy attorney know that you have a potential claim. The bankruptcy attorney can try to get it exempt from the bankruptcy estate which may allow you to proceed with a claim. Just be sure you to disclose it.
Jeremy Golden, Esq. is one of the resident debt experts here at GetOutOfDebt.org that helps people for free. Jeremy is a consumer rights attorney licensed to practice in California. He represents individuals in cases against debt collectors for violations of the FDCPA. He also focuses on defending people in collection cases who have been sued by their creditors or debt- buyers. In the last five years he has won at trial or obtained a dismissal in over 200 collection cases. Recently he was voted one of San Diego’s Top Attorneys in the field of Consumer Law by SDMetro Magazine. His website is goldencardona.com
Legal Disclaimer: This is for educational purposes only. It is not to be relied upon as legal advice. It also does not create an attorney-client relationship. No such relationship is formed with attorney without a written agreement.
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SSDI Recipients Are Often Judgment Proof. The free Judgment Proof Checker explains the exact federal and state protections that apply to Social Security income — and what collectors can and cannot do even after a judgment.
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