Wage Garnishment

Wage garnishment is one of the most immediately damaging forms of collection — money taken from your paycheck before you ever receive it. Government agencies can garnish wages without a court order. Creditors can garnish after obtaining a judgment.

Equity addresses garnishment at its commercial root. The garnishment is the result of an underlying obligation that has not been properly responded to. When the underlying obligation is discharged through Equity, the garnishment loses its basis.

Students have discharged garnishments from:

• IRS federal tax levies
• State tax agencies including the California FTB
• Child support enforcement agencies
• Civil judgment creditors
• Student loan servicers

One student was having wages garnished for child support — a significant amount monthly — while already sending money privately. Equity discharged the garnishment. Another student had active wage garnishment from the California FTB reversed after two and a half years of persistent Equity work with the garnished wages returned.

The process for garnishment follows the same acceptance sequence taught in Honor with Equity, with specific adjustments for the type of garnishing agency.