How can I stop garnishment and keep my bank account safe

Trying to keep this vague so I don’t get identified, but I need advice on avoiding wage garnishment and having my bank account seized over debts I was sued for.

I’m in my mid-60s and have $7,000 in credit card debt that was charged off 2-3 years ago and sold to Midland Credit. I missed my court date after being summoned, and I don’t plan to pay these debts for the rest of my life. My credit is already ruined, and I don’t own my house or car. I simply don’t have the money, and Midland won’t settle for less than $6,000 or agree to a reasonable payment plan, so here I am.

I want to stop garnishment through my paycheck. I plan to close my current bank account and cash my paychecks into my wife’s account going forward.

Are there any flaws in this plan? Is there anything else I can do to avoid garnishment or account seizures? I’m even open to leaving the country for a while if that helps. Appreciate any advice on how to handle this!

Garnishment happens before you even get your paycheck. It’s taken out directly by your employer, just like taxes.

Kim said:
Garnishment happens before you even get your paycheck. It’s taken out directly by your employer, just like taxes.

Looks like you’re out of options then.

How do you plan to cash checks in your name into your wife’s bank account? That could be a problem.

Chen said:
How do you plan to cash checks in your name into your wife’s bank account? That could be a problem.

He could go to the bank where the check is drawn and cash it directly there, then hand the cash to his wife to deposit in her account. Honestly, I’d just keep the cash at home at that point.

If you’re trying to cash your checks into your wife’s account, maybe open a small account in your name at her bank, keep a low balance, and cash the checks there. Your wife can then deposit the cash. Also, are you close to collecting Social Security? Social Security is usually protected from garnishment, so that might help.

You could try online banking with a provider that doesn’t operate in your state. Wage garnishment, though, comes straight from your employer, so you’d need to go completely cash-based to avoid it. It’s tough but possible.

@Lennon
Just be sure the company coming after you doesn’t have legal reach in the state where your bank is. A few states, like Texas and the Carolinas, have limited garnishment laws, but double-check that.

@Lennon
Most employers won’t be okay with paying you under the table, so this could backfire.

If you live in Texas, they can’t garnish your paycheck.

You should just pay what you owe instead of trying to work around the system. Garnishment works like taxes—it’s taken out before you even see your paycheck.

Sky said:
You should just pay what you owe instead of trying to work around the system. Garnishment works like taxes—it’s taken out before you even see your paycheck.

Honestly, the system isn’t exactly fair either.

Sky said:
You should just pay what you owe instead of trying to work around the system. Garnishment works like taxes—it’s taken out before you even see your paycheck.

I’m good, thanks.

@Linden
Cool, so you’re fine being a burden. Enjoy watching those deductions on your paycheck.

Stop avoiding responsibility and pay what you owe. People like you raise costs for everyone else. If you don’t want to pay, then don’t complain when your wages get garnished and your wife’s account gets dragged into this.

Cashing checks into someone else’s account might count as fraud. Set up a joint account with someone you trust if you really want to avoid garnishment.

What state are you in? Some states have better protection against garnishment.

Ren said:
What state are you in? Some states have better protection against garnishment.

I’m in Illinois.

Linden said:

Ren said:
What state are you in? Some states have better protection against garnishment.

I’m in Illinois.

If you move to Texas, they can’t garnish your paycheck or bank account. Downside is, you’ll have to live in Texas.

@Bela
They can still put a levy on your bank account in Texas, though. I ended up going cash-only to avoid that.