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Once a default judgment has been entered, a creditor can then use it to seek to garnish your wages and other property. In Mississippi, a default judgment acts as a lien against property you have in any county where the judgment has been properly entered.
The garnishment amount is limited to 25% of your disposable earnings for that week (what's left after mandatory deductions) or the amount by which your disposable earnings for that week exceed 30 times the federal minimum hourly wage, whichever is less.
If you are supporting a spouse, a dependent child under the age of twenty-one (21), or a dependent child who is deemed disabled by the Social Security Administration, you may be entitled to a head of family exemption from a garnishment.
Federal Wage Garnishment Limits for Judgment Creditors If a judgment creditor is garnishing your wages, federal law provides that it can take no more than: 25% of your disposable income, or. the amount that your income exceeds 30 times the federal minimum wage, whichever is less.
Sometimes creditors allow you to do this by working out a payment plan with them. However, if you cannot keep up with the payments or work out a deal, the best way to prevent garnishment is typically bankruptcy. Bankruptcy's automatic stay immediately halts all garnishments the day that you file.
Continuous wage garnishment means someone who owes a debt may have their wages garnished until the debt is paid in full or the relationship with the employer is terminated, whichever comes first.
Information in the Letter Other items in the letter are how often the deductions will occur, when they will begin and how long the deductions will last. You must also include who requested the garnishment, such as a state agency, court or business, as well as information on how the employee can stop the garnishments.
Sometimes creditors allow you to do this by working out a payment plan with them. However, if you cannot keep up with the payments or work out a deal, the best way to prevent garnishment is typically bankruptcy. Bankruptcy's automatic stay immediately halts all garnishments the day that you file.