After filing a bankruptcy petition, the debtor will receive automatic relief or an automatic stay from their creditors. This relief prevents most creditors from contacting and continuing to collect debts like garnishments.
However, you will not receive relief from all types of creditors and debt. Chapter 7 bankruptcy will not stop a debt for a domestic support obligation such as past due child support or alimony. However, a Chapter 13 can stop a garnishment for such domestic obligations. Chapter 7 will allow you to place these arrearages into your Chapter 13 plan.
Once your bankruptcy case is over, your creditors cannot continue a garnishment on a discharged debt. Any debt not discharged, you will be responsible for paying. Cases dismissed with debt discharged, means they can also continue a garnishment. If you file a bankruptcy in Montgomery or anywhere else our local attorneys can advise you on how it will affect a garnishment.
Overall, bankruptcy can help stop your garnishment. It can also help with other existing debt you may have. If you are being garnished, give our experienced bankruptcy attorney a call and file your bankruptcy today.
Devin O’Dell specializes in Bankruptcy and Probate & Estates Law. Mrs. O’Dell is licensed to practice in the State of Alabama and both the U.S. District Court of Northern and Middle Districts of Alabama. She regularly writes about bankruptcy and wills & trusts and enjoys speaking with clients about their estate planning needs.