One of the major benefits to filing a bankruptcy petition in Maryland is the automatic stay. It can be helpful in stopping most collection actions against you, including wage garnishments that are not a result of child support or child support arrears, or recent income tax arrears. Not only do some of these garnishments stop immediately upon the filing of the bankruptcy petition, but we are also able to recover up to 90 days worth of garnishment withholdings that were taken prior to the filing of the petition.
In a recent case we handled, which was brought into our office due to the wage garnishment, we were able to not only stop the garnishment, but we eliminated roughly $20,000 in additional unsecured debt for the client, and received a refund from the garnishment that was roughly equivalent to the amount of the fee the client paid our office to handle the proceedings. It was basically a free bankruptcy filing, plus the added benefit of all of the discharged debt!
Should be be in a position where you’re dealing with a non-child support or recent income tax wage garnishment contact our office at 410-885-6200 to discuss your options with one of our Maryland bankruptcy attorneys.