Is wage garnishment still illegal in Texas for judgment-creditors to try to collect judgments for debt?
Yes, but the next best thing for judgment-creditors is what as known as a "turnover receivership." This is an "extraordinary remedy" available to judgment-creditors in Texas. This allows them to seize things like cash, money in a bank account, stock that you own in your own company or in other companies, accounts receivable, and even property located outside of the State of Texas.
If you have a judgment against you in Texas, it is no longer safe for you to just assume that everything is going to be OK. Once your wages are put into a bank account, they are no longer considered to be wages, and a court-appointed receiver can have the bank seize the money, and send it to them through the use of the Turnover Statute. TEX. CIV. PRAC. & REM. CODE § 31.002 (a).
Here in the Houston metropolitan area, one legal firm that is very familiar with these turnover receiverships to collect judgments is Jon Malone LTD. The lawyer at the firm is Jon Malone.
If you have a judgment against you and Jon Malone is the receiver, I recommend that you make an appointment with my office or another experienced debt relief attorney, right away. If you have a competent and aggressive debt collection law firm coming after you to collect a judgment, they can make your life very difficult, if not impossible, until the situation is resolved somehow.
We'll explore all of your available options with you to resolve your debt problems, at no charge during your first consultation with our firm. You may need to file bankruptcy, or you may have other options, depending on the facts of your case. We only want what is best for you, in your situation. We'll make sure that you have all the information that you need, to make an informed decision about what is the best option for you.
To find out your options to get a turnover receivership stopped, call our office anytime, 24/7 at 713-772-8037 . For more information about it, an instant download of our Special Report, "How To Deal with Texas Debt Collection Lawsuits! 7 Mistakes That Can Cost You a Lot," is available on this website. Or, just call the office and we will put one in the mail to you.
Do you think these turnover receiverships should be legal in Texas? Why or why not? If not, do you think wage garnishment should be allowed? They have it in most states...they can take up to 25% of your paycheck. If not, how should people be allowed to collect judgments? Any ideas? Please leave your comments below. Thanks!