Wage garnishment is, unfortunately, pretty common, but there are ways you can go about stopping wage garnishments in Arizona. Sometimes your wages may even start to be garnished without there being a formal judgment process if you have certain types of debt like student loans or child support. You’ll still get some form of notification as will your employer, but the process could begin with just five days’ notice. Here’s how you should handle the process of halting wage garnishment.
Paying Your Debt
The easiest and fastest way to guarantee stopping wage garnishments in Arizona is to pay your judgment in full. There are a number of ways you can try to raise this money, including asking your loved ones to loan you part or all of the judgment.Filing for Bankruptcy
Filing for bankruptcy will also give you immediate exemption from garnishment, both in the future as well as any garnishment that has already started. It will eliminate most unsecured debt. This is helpful because not only does it stop garnishment, but it also eliminates the source of the garnishment. Most types of debt are dischargeable in bankruptcy, but if for some reason the debt cannot be discharged in bankruptcy, wage garnishment will continue as soon as the case is discharged.There are a lot of factors to consider if you’re thinking about bankruptcy. If your debt is greater than $10,000, you have multiple debts, and/or your wages were significantly garnished within the past three months, filing for bankruptcy is likely your best option.
Settling with the Creditor
There’s also the option of settling with the creditor. You may be able to negotiate as long as it’s before the judgment. This is beneficial to you because you can stop wage garnishment, but it’s also to the creditor’s advantage because they get their money faster and it guarantees that they will actually get something. They don’t have to run the risk of you filing for bankruptcy which could mean they don’t get payment. Of course, this option will only work if you actually have money to pay for a settlement.Decreasing the Amount of Garnishment
If you’ve looked at the balance of the money judgment and think there’s been an error, you can contest it. However, you’ll need to act fast! You will typically only have five days to object to the court. The balance may be so high because the creditor can add legal fees as well as interest to the judgment.The standard garnishment is 25%, but you can try to get that reduced by petitioning the court. You may be able to get the garnishment as low as 15% but no lower. In order to make this happen, though, you’ll need to prove that the garnishment is substantially impacting your ability to afford basic necessities.
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