In Debt? Better Watch Your Paycheck
August 19th, 2010Once accrued debt has been sold to a collection agency they can seize property AND part of your pay. An article in the New York Daily News warns people of the legalities as well as suggests some advice in order to make it through such a situation.
That’s right, someone can withhold your paycheck if you go M.I.A. on your debt payments. There are of course some exceptions (ie: if you can’t pay your mortgage or need to take care of a child) but if you make over $220.00 a week they can take up to 10% out of your check. If you make more than that, there is a automatic deduction of up to 25%.
Some of their main advice is GO TO COURT if this happens, many times the switch from bank to collection agency they do not carry over the proof that the actual debt exists (wild huh?)
The peculiar part to all of this is, the government is free of such intrusion. They can spend themselves into an insane amount of debt and never have to worry about someone creeping up and, God forbid, taking their tax money back.
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