A wage garnishment can decrease the money you have left for rent, food, and other essentials, and a bank freeze can cut off funds already in your account. You may be able to halt wage garnishments and bank freezes with bankruptcy, because filing for one will trigger a court order that stops most collection activity immediately.
A trustworthy bankruptcy attorney from our firm can examine how advanced the garnishment is and which of your wages is already protected by Florida law. The answer determines your choice between Chapter 7 and Chapter 13 and how quickly the deductions stop.
How Does Bankruptcy Stop Wage Garnishment?
The automatic stay under 11 U.S.C. § 362 stops creditors from starting or continuing a wage garnishment once your case begins. Your employer and its payroll department usually need notice of the filing before deductions stop, so we send that notice quickly.
The stay does not reach every kind of withholding. Federal law keeps exceptions in place for certain domestic support obligations, and the protection can be narrower if you filed another bankruptcy case recently. We review your filing history so you know which protections apply to your paycheck.
Releasing a Frozen Bank Account After You File
Filing for bankruptcy stops most creditors from taking further action against the money in your account, but it does not always return funds that a creditor has already restrained. The outcome often depends on whether the creditor has taken the money and whether those funds qualify as exempt. A bank may also assert a setoff right of its own.
Florida law helps here. Under Florida Statutes § 222.11, all disposable earnings of a family head are exempt from garnishment up to $750 a week, and exempt earnings you deposit stay protected for six months when they can be traced as wages. We use those protections to argue that restrained money belongs back with you.
Timing Your Bankruptcy Filing When a Garnishment Is Underway
Timing changes the outcome when a garnishment or bank levy is already in motion. Bring us the court papers and your recent account statements, and we will tell you if filing for bankruptcy stops the collection and what else you may need to free restrained funds.
Contact Werner, Hoffman, Greig & Garcia About Stopping Wage Garnishments and Bank Freezes With Bankruptcy
You do not have to wait for collections activity to take your paycheck or lock you out of your account. Werner, Hoffman, Greig & Garcia can review where your case stands and explain whether you can halt wage garnishments and bank freezes with bankruptcy.
Our team offers a free initial consultation, so you can get answers before you make a decision. Call our office, and we will help determine the timing that protects the most income.
We are a debt relief agency. We help people file for relief under the Bankruptcy Code.
...In Just A Few Clicks.
- "No Win, No Fee" Promise
- Real Trial Attorneys with Real Experience
- Veteran-Owned & Operated
- Always Compassionate & Client-Focused
- Proven Record of Results
About the Author
Adam Werner is a partner and practicing attorney at WHG. He specializes in personal injury cases, workers’ compensation claims, and veteran disability benefits. He routinely writes about personal injury and workers comp topics for the Werner, Hoffman, Greig & Garcia blog.
