Wage Garnishment is a legal procedure that may allow your creditors to withhold a part of your paycheck before it gets to you. This can be very inconvenient and make you suffer in tough financial conditions. Read our guide to know everything about the procedure and figure out how to stop wage garnishment in Michigan.

How Wage Garnishment Works in Michigan

Wage garnishment laws of the state of Michigan allow creditors to withhold the money directly from your paycheck before your employer gives it to you. If the court allows your creditors to do so, your employer is obliged to comply. The federal law only limits the maximal size of wage garnishment to:

  • 25% of disposable earnings from your monthly paycheck;
  • The full size of your wage minus 30x minimal federal wage.

Creditors can also garnish your wages without the court order if you don’t pay in time on the following kinds of debt:

  • Student loan debt;
  • Child support debt;
  • Income tax debt.

Other kinds of debt require an official court judgment. Regardless of your debt type, wage garnishment can stay active until the debt is fully paid back. That’s why it is so uncomfortable and can make covering your average daily expenses very hard or even impossible.

How to Stop Wage Garnishment?

Currently, the best way to stop wage garnishment is to file for bankruptcy with the help of an experienced bankruptcy attorney. Once your lawyer files for bankruptcy and you pay the fee, the court will enforce an automatic stay and stop all the debt collection procedures, including wage garnishment on any kind of debt. When the automatic stay is active, your creditors can’t contact you, collect any of the money you earn or take away your vehicle.

If you qualify for Chapter 7 Bankruptcy, the lawyer will help you persuade the court to reduce or eliminate your debt entirely. If your lawyer is experienced enough, you won’t even lose any of your assets during the process.

If the lawyer says that your situation requires Chapter 13 bankruptcy, you should be ready that your debt won’t be canceled, but the payment schedule will be revised and extended for extra three-five years. You will also be able to keep most or all of your assets, including property and vehicles, regardless of their cost.

If the creditors keep contacting you after the automatic stay is activated by the court, you can sue them and receive compensation that can be used for covering a part of your debt faster. Be attentive and don’t excuse unlawful actions of creditors, no matter how polite they are trying to be.

Start Today

We highly recommend filing for bankruptcy as soon as possible as it’s the fastest way to employ the automatic stay and save your money. Depending on your situation, you may fully eliminate the debt or negotiate a more comfortable schedule of payouts. Remember that the law is always on your side, but it’s only you who can go and use it for good.


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