Collecting debt can be a complicated and frustrating process. People who owe money to any number of creditors can try to put off or ignore their duty to repay debt, but that can make matters so much more complicated for all parties involved. Not only will debtors have to deal with penalties and collections practices, but creditors will have to explore and enforce other means of collecting debt that is not being paid.
One option that is available to parties attempting to collect consumer debt is garnishment. This practice of seizing property or money from a debtor can be very effective in collecting unpaid debt, but it is also one that should be utilized at appropriate times and for appropriate purposes.
Generally speaking, an order for garnishment is only sought when other efforts to collect debt have failed; it will also require the court to make a judgment against the person who owes the money.
Many people are familiar with wage garnishment. This action refers to a the act of withholding money owed directly from a person’s paycheck. It is important to know that there are limits to the amount of a person’s paycheck that may be garnished, and in some cases garnishment for other types of debt will take precedence over garnishment for consumer debt.
There is also the option of garnishment of property other than personal earnings. This includes funds being held in banks or other institutions that are not earned in a paycheck. By securing the necessary judgment, creditors can collect payment from these parties to satisfy an order.
Garnishment of wages or property is not necessary in all cases of debt collection. Understanding when it might be appropriate to pursue this option and how to do so successfully and in accordance with Ohio garnishment laws by discussing the options with an attorney can be a wise decision.