Wages garnished without notice and I don't know what to do.
May 21, 2017 11:58 AM Subscribe
[Virginia employment/debtor law filter]: I just saw that my wages were garnished on my current paycheck for over $350. I was never notified about this (by my employer or otherwise) nor served any papers and I am freaking out.
I am dealing with several financial issues right now but had no idea there was a judgment made against me or that my wages would be garnished. I have no idea what to do, and due to the wage garnishment, don't think I can afford any legal advice for the foreseeable next few weeks as I obviously didn't budget for this.
Yes, I am aware of how screwed up my finances are and a lot of this is anxiety-induced and has just compounded itself. This is extremely humiliating for me to even admit as an anonymous poster here. I want to kick myself a thousand times over but realize that isn't helpful and need to address this head on, finally.
- I owe back taxes (federal) and am on a repayment plan with the IRS, but did not my file my taxes on time this year (I tried to file an extension in April but it got rejected for unknown reasons, and I was going to finally sit down and file them today when I saw this)
- I had not been paying my student loans as of recent (long story), although just spoke with Navient last week about my private loans who said they would charge me $150 to get my account back to 'current' - the charge hasn't come out yet but was supposed to come out on Friday? I had given them my debit card # to charge, not my bank routing info.
- After moving out of my old apartment in September, I know I did not pay my final electric or internet bill, and also failed to return one set of electronic keys to my apartment complex (which I still have).
I have no idea if this judgment is related to the taxes (it seems really quick for the IRS to have already garnished my wages after 1 month), the student loans, or some combo of the issues with the former apartment complex / utilities.
I have no idea who to turn to or ask questions of or where to begin. How do I find out who filed this and when the judgement was made? Can I appeal/question it and if so, what is the process? I will do whatever it takes to repay what is owed but I cannot afford to do anything if I have $700 a month ($350+ per paycheck) deducted automatically from my paycheck.
I really do not want to file bankruptcy, as the vast majority of my debt is student loans and back taxes, anyway. I have already been on a debt repayment plan (using a credible, vetted non-profit service) for my credit cards for the past year, and my credit card debt is tiny compared to the student loans (and about on part with what I owe in back taxes).
As stated above, this is in Virginia, USA.
Please, please help. If you have questions or would prefer to contact me privately, I've set up an email: garnished2017@gmail.com
I am dealing with several financial issues right now but had no idea there was a judgment made against me or that my wages would be garnished. I have no idea what to do, and due to the wage garnishment, don't think I can afford any legal advice for the foreseeable next few weeks as I obviously didn't budget for this.
Yes, I am aware of how screwed up my finances are and a lot of this is anxiety-induced and has just compounded itself. This is extremely humiliating for me to even admit as an anonymous poster here. I want to kick myself a thousand times over but realize that isn't helpful and need to address this head on, finally.
- I owe back taxes (federal) and am on a repayment plan with the IRS, but did not my file my taxes on time this year (I tried to file an extension in April but it got rejected for unknown reasons, and I was going to finally sit down and file them today when I saw this)
- I had not been paying my student loans as of recent (long story), although just spoke with Navient last week about my private loans who said they would charge me $150 to get my account back to 'current' - the charge hasn't come out yet but was supposed to come out on Friday? I had given them my debit card # to charge, not my bank routing info.
- After moving out of my old apartment in September, I know I did not pay my final electric or internet bill, and also failed to return one set of electronic keys to my apartment complex (which I still have).
I have no idea if this judgment is related to the taxes (it seems really quick for the IRS to have already garnished my wages after 1 month), the student loans, or some combo of the issues with the former apartment complex / utilities.
I have no idea who to turn to or ask questions of or where to begin. How do I find out who filed this and when the judgement was made? Can I appeal/question it and if so, what is the process? I will do whatever it takes to repay what is owed but I cannot afford to do anything if I have $700 a month ($350+ per paycheck) deducted automatically from my paycheck.
I really do not want to file bankruptcy, as the vast majority of my debt is student loans and back taxes, anyway. I have already been on a debt repayment plan (using a credible, vetted non-profit service) for my credit cards for the past year, and my credit card debt is tiny compared to the student loans (and about on part with what I owe in back taxes).
As stated above, this is in Virginia, USA.
Please, please help. If you have questions or would prefer to contact me privately, I've set up an email: garnished2017@gmail.com
In Virginia, the group taking the money needs to have a court judgement against you. Have you recently moved and missed a summons?
posted by parmanparman at 12:26 PM on May 21, 2017 [1 favorite]
posted by parmanparman at 12:26 PM on May 21, 2017 [1 favorite]
Take a look at your local legal aid resources to better understand what's going on and what your rights are.
posted by snaw at 5:41 PM on May 21, 2017
posted by snaw at 5:41 PM on May 21, 2017
File your taxes anyway, by the way. If you owe additional money this year, make whatever payment you can afford now anyway, or whatever's consistent with your payment plan as appropriate. The wheels turn slowly on the IRS front, or at least slow enough that you'll have more info from HR (seconding shoesietart above) before the IRS turns its Eye-of-Sauron-like glare on your return.
Besides your taxes, you should concentrate on the present and near-future consequences of being $350 short: what outstanding checks, or automatic bill-payments are going to hit your account, and will you be overdrawn? Focus on that when your taxes are done, and do what you need to avoid overdraft fees and such.
Right now you've got a lot of questions, and it's Sunday so you're not getting answers today, so be patient and do what you can do today (ask friends/family for a loan, move money from savings, whatever) to deal with the immediate impact.
posted by Sunburnt at 6:24 PM on May 21, 2017
Besides your taxes, you should concentrate on the present and near-future consequences of being $350 short: what outstanding checks, or automatic bill-payments are going to hit your account, and will you be overdrawn? Focus on that when your taxes are done, and do what you need to avoid overdraft fees and such.
Right now you've got a lot of questions, and it's Sunday so you're not getting answers today, so be patient and do what you can do today (ask friends/family for a loan, move money from savings, whatever) to deal with the immediate impact.
posted by Sunburnt at 6:24 PM on May 21, 2017
I'm an attorney but not yours, and I am not licensed to practice law in Virginia. You should seek counsel from an attorney licensed to practice in your jurisdiction.
How do I find out who filed this and when the judgement was made?
In Massachusetts or Rhode Island, civil dockets are freely available online. For instance, a resident of Massachusetts can go to MassCourts.org, select a court within his jurisdiction, and search by his name to find cases. He wouldn't be able to view individually filed documents, but the online docket would show entry of judgment, whether it entered by default or by agreement, and its amount. Rhode Island works similarly, although the docket doesn't show specific information about judgment, and individually filed documents are scanned and viewable by attorneys who are entered on that case.
You might research whether Virginia has something similar. If so, you might be able to find some information right now, within the next hour.
Can I appeal/question it and if so, what is the process?
See above, regarding my lack of qualifications to give you specific information or advice on this subject. You should seek counsel licensed in your jurisdiction.
However, I can tell you as a general proposition that wage garnishments for consumer debt are disfavored. I have considerable expertise in this area of law—although not in Virginia—and I have never seen a judge allow garnishment of wages against a defendant who is present in court, participating respectfully in the process, willing to negotiate payments, and who doesn't want his wages garnished. (Some people agree to garnishment. For some, it's just convenient.)
In other words: there are jurisdictions where, if you had become newly aware of a wage garnishment and you are prepared to take appropriate steps to address it, you could almost certainly have it stopped. I can't say whether Virginia is such a place. You should look into it.
I've switched on my MeMail temporarily if you'd like to chat. I can't offer advice, but I would be more than happy to share some of my personal experiences to the extent they might help you to gain perspective. I do not think this is a situation that should cause you to lose sleep. It is more common than you think, and probably more solvable than you fear. Breathe deeply. Good luck.
posted by cribcage at 7:03 PM on May 21, 2017 [3 favorites]
How do I find out who filed this and when the judgement was made?
In Massachusetts or Rhode Island, civil dockets are freely available online. For instance, a resident of Massachusetts can go to MassCourts.org, select a court within his jurisdiction, and search by his name to find cases. He wouldn't be able to view individually filed documents, but the online docket would show entry of judgment, whether it entered by default or by agreement, and its amount. Rhode Island works similarly, although the docket doesn't show specific information about judgment, and individually filed documents are scanned and viewable by attorneys who are entered on that case.
You might research whether Virginia has something similar. If so, you might be able to find some information right now, within the next hour.
Can I appeal/question it and if so, what is the process?
See above, regarding my lack of qualifications to give you specific information or advice on this subject. You should seek counsel licensed in your jurisdiction.
However, I can tell you as a general proposition that wage garnishments for consumer debt are disfavored. I have considerable expertise in this area of law—although not in Virginia—and I have never seen a judge allow garnishment of wages against a defendant who is present in court, participating respectfully in the process, willing to negotiate payments, and who doesn't want his wages garnished. (Some people agree to garnishment. For some, it's just convenient.)
In other words: there are jurisdictions where, if you had become newly aware of a wage garnishment and you are prepared to take appropriate steps to address it, you could almost certainly have it stopped. I can't say whether Virginia is such a place. You should look into it.
I've switched on my MeMail temporarily if you'd like to chat. I can't offer advice, but I would be more than happy to share some of my personal experiences to the extent they might help you to gain perspective. I do not think this is a situation that should cause you to lose sleep. It is more common than you think, and probably more solvable than you fear. Breathe deeply. Good luck.
posted by cribcage at 7:03 PM on May 21, 2017 [3 favorites]
IANYL.
It appears that Virginia has online court records on which you could search for a judgment against you. Sometimes, the availability of these records is idiosyncratic, so I can't guarantee you'd be able to turn up the case, but it's worth looking.
I would also pull my credit report (you can get one free from each credit reporting agency per year), as the judgment may be there, as well. They may not give the full case number, but at least the creditor should be identified. You may recognize the name. (Or not--if the debt has been resold.)
I will say that it is not uncommon for sleazy debt-collection companies to engage in what is known as "sewer service," where they claim to have properly provided you with notice of a lawsuit against you, but really just tossed the papers in the nearest garbage can. This can lead to what is known as a default judgment against you--that is, you lose because, in the court's eyes, you never bothered to show up. If that is the case, generally speaking, it is possible to get the judgment overturned (and thus the garnishment stopped) by going to the court and explaining the situation. But you will need some actual legal assistance to do this. It is hard to figure out what is available to you without knowing where you live. (Also, you should understand that this does not make the debt go away. It does force them to start over and do things right if they want to get another judgment, which is frequently a motivation for them to offer a settlement.)
This happens to a lot of people. So, so many, for so many reasons. I used to volunteer at a clinic that, among other things, helped people file to vacate those default judgments, and the waiting space was always full. Creditors will use the shame as a stick to beat you with. Don't let them.
posted by praemunire at 9:14 PM on May 21, 2017 [1 favorite]
It appears that Virginia has online court records on which you could search for a judgment against you. Sometimes, the availability of these records is idiosyncratic, so I can't guarantee you'd be able to turn up the case, but it's worth looking.
I would also pull my credit report (you can get one free from each credit reporting agency per year), as the judgment may be there, as well. They may not give the full case number, but at least the creditor should be identified. You may recognize the name. (Or not--if the debt has been resold.)
I will say that it is not uncommon for sleazy debt-collection companies to engage in what is known as "sewer service," where they claim to have properly provided you with notice of a lawsuit against you, but really just tossed the papers in the nearest garbage can. This can lead to what is known as a default judgment against you--that is, you lose because, in the court's eyes, you never bothered to show up. If that is the case, generally speaking, it is possible to get the judgment overturned (and thus the garnishment stopped) by going to the court and explaining the situation. But you will need some actual legal assistance to do this. It is hard to figure out what is available to you without knowing where you live. (Also, you should understand that this does not make the debt go away. It does force them to start over and do things right if they want to get another judgment, which is frequently a motivation for them to offer a settlement.)
This happens to a lot of people. So, so many, for so many reasons. I used to volunteer at a clinic that, among other things, helped people file to vacate those default judgments, and the waiting space was always full. Creditors will use the shame as a stick to beat you with. Don't let them.
posted by praemunire at 9:14 PM on May 21, 2017 [1 favorite]
Another possible source for the garnishment is the state of Virginia. May 1st was the filing deadline for this year, so the timing works out. I know my state is much quicker to garnish than the IRS.
posted by soelo at 7:25 AM on May 22, 2017
posted by soelo at 7:25 AM on May 22, 2017
Even the federal government and the states, which don't need to go through the same process to garnish for back taxes as a private creditor must, are required to provide notice in advance. It's not the same as service, though, I don't think (not an expert), so I suppose it's possible with a move in the past year such a notice was not forwarded.
Still seems very quick for any tax agency, and also to involve an unusually high amount of money for state taxes given this person's likely economic situation, but not impossible, I guess.
posted by praemunire at 10:53 AM on May 22, 2017
Still seems very quick for any tax agency, and also to involve an unusually high amount of money for state taxes given this person's likely economic situation, but not impossible, I guess.
posted by praemunire at 10:53 AM on May 22, 2017
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It's difficult but not impossible to forestall IRS garnishments. For all others, you may need to speak with an attorney. Creditors don't always follow the correct procedures to obtain judgements. There are also limits on how much can be garnished. See if your local law school or bar association offers any pro bono legal clinics. If you work for a large company, you may have an employee assistance program that includes a free legal consultation.
posted by shoesietart at 12:23 PM on May 21, 2017 [4 favorites]