Married, but separated, mother of 2 children (7 & 4). Multiple debts in collections, including a signature loan and husband’s repossessed truck. Both of which is in both of our names. I’m not receiving any child support as I am unable to locate husband. I have been contacted by the creditor of our signature loan. The payment is past due several months and they refuse to accept less than half of monies due each month. I can’t afford even that amount. They told me that they are able to garnish my wages if I don’t pay they bill.
In my situation, I’ve heard/read that there is an exemption of wage garnishment for head of household people (me) and those supporting more than 50% of income for a minor child (my kids). Is this true? If so and the creditor is aware of my current situation, is it harrassment to still threaten me with wage garnishment if I’m exempt from it?
I don’t know. That all depends on what state you live in and you should find a local attorney to ask that question to.
But it occurs to me that trying to ditch the garnishment is not the solution here. With multiple creditors coming after you and based on your situation, I think you should really be talking to a local bankruptcy attorney and consider bankruptcy. Bankruptcy will stop all the collections and kill the garnishments, completely.
Once you go bankrupt the creditors can only look to your husband for repayment and you are now done with that tie to him. It’s worth a serious consideration to help you break the financial chains and move forward with your life.
Before you start to fear bankruptcy, go talk to a local bankruptcy attorney and get the facts. Make your decision on reality, not assumptions.
Please update me on your progress by posting updates here in the comments section of your question. I’m very interested in how this works out for you.
P.S. Be sure to read ‘The Secret of Surviving Through Difficult Economic Times. What I Learned On My Journey‘.