Child Support Bank Levy

[DHaruch]

What is the name of your state (only U.S. law)? New Jersey
My original support order in New Jersey calls for support amount plus arrears with the 55%-65% limitations. I have accrued arrears as a result off an involuntary lay-off. I now reside in PA and am currently employed and payments have resumed. The balance of my paycheck is direct deposited and that account has now been levied. Doesn't this circumvent the payment guidelines?

[TinkerBelleLuvr]

What about child support and alimony?
Specific restrictions apply to court orders for child support or alimony. The garnishment law allows up to 50 percent of a worker's disposable earnings to be garnished for these purposes if the worker is supporting another spouse or child, or up to 60 percent if the worker is not. An additional 5 percent may be garnished for support payments more than l2 weeks in arrears.

Are there any exceptions to the law?
The wage garnishment law specifies that the garnishment restrictions do not apply to certain bankruptcy court orders, or to debts due for federal or state taxes. If a state wage garnishment law differs from the CCPA, the law resulting in the smaller garnishment must be observed. You may be able to claim one or more exemptions and avoid paying the judgment or at least a portion of it.

Bank Account funds that are from:

Veterans Benefits
Child Support Payments
U.S. Government Pension
Unemployment Compensation
Supplemental Security Income (SSI)
Temporary Assistance for Needy Families
Certain funds in a joint or community account
Other public Assistance or Income allowed by State Law

In order to protect your right to claim these exemptions you must, within 28 days from the date on the Writ of Garnishment, deliver to the court clerk and mail a copy to the plaintiff, the completed Exemption Claim Form.

Unless the monies in that bank account were from one of the listed types above, they can take 100% of it. They can take 100% of your tax refunds also.

[DHaruch]

I understand what you are saying but the balance of my paycheck is where these funds came from and that balance was after the court ordered garnishments. There was no modification. I feel that because the balance of my paycheck was deposited in the bank, the guidelines for wage garnishment were circumvented.

[TinkerBelleLuvr]

The law doesn't feel. They can levy 100% of non-income sources of money. You choose to put the balance of your money in the bank. Exactly HOW far behind are you in support?

[DHaruch]

I was out of work for 14 Mos. and my last payment before starting my current job was Dec '08. Aprox. dollar value just under 10K.

[IsabellaSoriano]

Originally Posted by DHaruch

I was out of work for 14 Mos. and my last payment before starting my current job was Dec '08. Aprox. dollar value just under 10K.

the only option you have at this point, is to request a modification, reset the child support amount and a payment plan for the arrears. it is quite possible of you have enough of a monthly payment for the arrears. your tax returned will still be garnished to the fullest.

[Gracie3787]

Originally Posted by DHaruch

What is the name of your state (only U.S. law)? New Jersey
My original support order in New Jersey calls for support amount plus arrears with the 55%-65% limitations. I have accrued arrears as a result off an involuntary lay-off. I now reside in PA and am currently employed and payments have resumed. The balance of my paycheck is direct deposited and that account has now been levied. Doesn't this circumvent the payment guidelines?

I understand your thinking. However, the 55% -65% is only applicable to garnishment. A levy is a totally different thing and there is no limit on that, other than what was previously posted.

The only thing you can do will be to talk to your employer to see if you can recieve your paychecks another way. If direct deposit is the only way, you'll need to open a new account and the minute that your paycheck is deposited you'll need to withdraw it in cash. This will not prevent another levy on a new account, but it can give you some chance to recieve some of your pay.

Do you have any way of borrowing the balance of the arrears to pay them off?
It might be your best way of solving the problem.

[DHaruch]

I sent a fax to the NJ Fam. Support Ctr. explaining what I had previously posted and they were actually empathetic to my plight and settled for 50% of the levied amount. So needless to say I faxed them a waiver to my right to appeal and they released the balance of the funds and said that as long as my payments continued there would be no further levies.