If your hard-earned wages are being garnished or about to be garnished by your creditor or the Court, you need a highly experienced bankruptcy attorney to protect your rights and stop your wage garnishment. Award-winning wage garnishment lawyer John D. Ioakimidis has been helping people in Chicago, Cook County, Lake County, DuPage County, Kane County, Will County, and McHenry County for 25 years get out of debt and stop their wage garnishments.
You work hard for your paycheck, relying on it to meet your monthly obligations and daily expenses. Losing even a small portion of your income poses a severe threat to your financial security. Without your total income, your ability to provide for yourself and your loved ones becomes an uphill challenge. Your creditors are not concerned with your financial or emotional well-being. They want to get paid with interest, often at ridiculous interest rates. Well, Illinois law and Federal law give you many protections. You can stop your wage garnishment immediately upon a Chapter 7 or Chapter 13 bankruptcy. People are often feel overwhelmed by having to fight their creditors. With proper guidance, you can significantly increase your financial situation and stop your wage garnishment. Do not allow yourself to be discouraged from moving on with your life. If you are having financial difficulties because the Court or your creditor is garnishing a paycheck, it is time to learn about your options under the law.
As a bankruptcy and debt solutions attorney with over 25 years of experience working with people in northern Illinois and throughout Cook, Lake, Will, DuPage, Kane, and McHenry Counties, I understand how life events can make you fall behind on your debts. Often filing for bankruptcy is unnecessary because your creditor may agree to settle your debt for much less. However, creditors can be unreasonable, and filing for bankruptcy becomes necessary. I have helped over seven hundred clients get out of debt. If you have had your wages garnished due to non-payment, filing for bankruptcy will stop the garnishment, avoid future harassment, and erase, settle or reorganize your debts. Having an experienced attorney deal with your creditors gives you the best chance to put your bad debts behind you and move forward to a better credit score.
How Can Bankruptcy Stop a Wage Garnishment?
Whether it is a Chapter 7 or Chapter 13, the filing of a bankruptcy will stop your creditors and the Court from garnishing your wages immediately. Federal bankruptcy law requires that under 11 U.S. Code § 362, all creditors stop their collection proceedings, including but not limited to lawsuits and wage garnishments. This is referred to as the automatic stay. It means that when your bankruptcy attorney files, your creditors must stop collections, and their debts are handled within the bankruptcy. This is an injunction that automatically stops your creditors in their tracks and protects you against lawsuits, foreclosures, and wage garnishments while your case is being resolved.
Once your Chapter 7 or Chapter 13 is filed with the bankruptcy court, we will swiftly notify your employer to stop deducting your wages. The bankruptcy court either eliminates your debt in Chapter 7 or recognizes the debt in Chapter 13 in a way that allows you to keep your property and make your payments more affordable. Filing for bankruptcy not only stops a wage garnishment but also prevents it from occurring. It is best to stop the garnishment from going into effect in the first place so no money is deducted from your paycheck. Bankruptcy can prevent your wages from being garnished due to the following:
- Credit cards;
- Loan obligations;
- Mortgages on homes and real estate;
- Student loans;
- State and federal tax liabilities;
- Judgments in civil matters;
- Payday loans;
- Personal Loans;
- Car loans;
- Personal Loans.
From over two decades of experience helping people throughout Chicago, Cook, Lake, DuPage, Kane, and Will Counties, it is a great feeling to gain control of your paycheck again and get a grip on your finances. As your bankruptcy lawyer, you will be assured of the absolute best representation.
Are there non-bankruptcy alternatives to wage garnishment?
With willing creditors, your debt can be negotiated to a much lower amount and/or reorganized to make your payments affordable. For over 25 years, I have been negotiating and fighting my client's creditors with great success throughout the Chicagoland area. Creditors must act in good faith and not make false claims under the Fair Debt Collection Practices Act (FDCPA) under 11 USC 1692. As a consumer, you are protected against unscrupulous credit collection agencies' actions because they are prevented from making false claims regarding actions they have no authority or intention to take, such as wage garnishment. Your creditors are prevented from:
- Calling before 8: 00 a.m. and after 9:00 p.m;
- Contacting you after you told them not to in writing;
- Calling or talking to you to annoy, abuse, or harass;
- Calling you at work after you told them not to call you at work;
- From making misrepresentations or acting deceptively;
- From publishing your name and address as a bad debt;
- Threatening arrest;
- Using profane language;
- Talking about your debt with 3rd parties.
Although you do have these protections, creditors may file a lawsuit against you seeking access to your earnings or assets you have in bank accounts, as well as to your Social Security or Veteran's Benefits. That's why it's essential to start the process of negotiating with your creditors as soon as possible before things get out of control. An effective strategy coupled with your legal rights can make all the difference in the world.
Resolving Your Debts: The need for a smart strategy
Based on Illinois law and the federal Bankruptcy Code, I can advise you on how you can resolve your debts and protect yourself against future collection efforts, such as wage garnishment. I can negotiate with your creditors to reach a resolution that is good for you. If your creditors are unreasonable, Chapter 7 or Chapter 13 can resolve your financial problems. A Chapter 7, unlike a Chapter 13, is often referred to as a liquidation; this allows you to eliminate unsecured debts while giving you the option to keep most of your personal property. On the other hand, people often refer to Chapter 13 bankruptcy as a reorganization.
It gives you the right to eliminate certain unsecured debts but also allows you to retain ownership of property, such as your home or car, while making a repayment plan. Keep in mind that while in a Chapter 7 bankruptcy, your debts are eliminated. In a Chapter 13 bankruptcy, your debts that are unsecured could be reduced by 90% or more, and the principal and interest on your car can also be drastically reduced. Regardless of the type of bankruptcy, the automatic stay imposed by federal law goes into effect immediately upon filing - protecting your income and your assets while your debt issues are being resolved.
Representation You Can Trust from an Award-Winning Chicago Bankruptcy Attorney
If you are facing a wage garnishment as the result of any outstanding debts, including taxes and court judgments, contact me at 312-229-5500 or online today to see how I can help you stop your wage garnishment and get out of the heavy burden of debt. I use the latest technology and software to best prepare your case efficiently. You will always be treated with honesty, respect, and in a professional manner. As an award-winning, experienced Chicago bankruptcy and debt solutions attorney, I act as your strong legal advocate, ensuring your rights are protected while working to provide the most successful results in your case. I serve Chicago, Cook, Lake, DuPage, Will, McHenry, Kane, and Will Counties. Request your free consultation today by calling 312-229-5500.