Arkansas has strict laws that allow creditors to garnish up to 25 percent of a person’s paychecks as well as their bank accounts. Once a judgment has been entered, the garnishing process usually begins. If the creditor does not know what assets the debtor has, the law allows a creditor to send the debtor discovery pleading which compel them to disclose all assets including bank accounts, personal and real property, and their place of employment. Afterwards, the creditor has the information they need to garnish and attach most assets of the debtor. The law of Arkansas also allows for continuous garnishment of wages which means the garnishments will continue until the debt is paid in full with all interest that accumulates (usually at 10 percent per annum).
The problem with garnishments is that it tends to disrupt the lives of the people being garnished because it takes from them income they rely on and funds from their bank account needed for basic living. Also, many employers will fire employees that receive too many garnishment notices. Most creditors at the point of garnishment are unwilling to work out any kind of payment plan. The only effective way to legally stop this collection process is by exercising your right under federal law to file either Chapter 7
or Chapter 13
Filing Bankruptcy Puts the Law on your Side.
When debts go unpaid, legal actions almost always occurs one way or the other. Garnishments are one of the legal actions that happen. By filing a bankruptcy action, you file a legal action that puts the law on your side and allows you to regain control of your finances. It allows you to control your finances in an orderly and predictable manner that protects you from disruptions like wage garnishments. It also helps put you back on track so that you never get in this situation again.
Filing bankruptcy will stop the garnishment process immediately. Once you file, most employers will stop the garnishment the same day they get a case number. The creditor also has to stop the same day you file. If any money does get garnished after the date you file, it has to promptly be returned to you.
Stop Wage Garnishments Immediately
The good news for those who are dealing with wage garnishment is that either Chapter 7 or Chapter 13
bankruptcy can be used to immediately stop garnishments. Either form of bankruptcy will allow you to both stop wage garnishment
and improve your overall financial situation at the same time. Bankruptcy attorney Gregory Harris has helped Arkansans stop wage garnishments for over 20 years. Contact us
at the Harris Law Firm or call us at 501-372-6985 or set an appointment online
We will consult with you without charge. There is no fee unless you decide to file.
We will make the process affordable for you (See Our Fees and the Costs ).
We will do all the paperwork. No stacks of confusing forms.
Your case will be handled by an attorney, not a legal assistant.
We will be with you every step of the way to make sure you get a fresh start.
Harris Law Firm Ltd.,
510 West 4th Street,
North Little Rock, AR 72214
Toll Free: 855-372-6979