Garnishment Of Ss Or Dic

[teejay53]

hi all;

i have another question which i am stressing a lot over (as always ... of course).

i have several creditors that will not do even talk abt pmt arrangements. the bills totaled are abt $3,800.

i do not nowhere near have that much to pay them in a lump sum. can they garnish my dic and social security disability checks? if they beat me to the bank i would not be able to pay my rent and utilities.

again i thank all of you for your help.

have a happy holiday.

teejay

[Testvet]

even the federal govt if you are getting SSD only can take 15% a month until they get it paid off but they tell you 3 months ahead of when they start doing it and they take it before it ever gets sent out either direct deposit or in a check,yes learn all the state laws that affect you also not all states have the same rules

[teejay53]

thank you all for your advice.

have a happy and safe holiday!

teejay

[COOL BREEZE]

hi all;

i have another question which i am stressing a lot over (as always ... of course).

i have several creditors that will not do even talk abt pmt arrangements. the bills totaled are abt $3,800.

i do not nowhere near have that much to pay them in a lump sum. can they garnish my dic and social security disability checks? if they beat me to the bank i would not be able to pay my rent and utilities.

again i thank all of you for your help.

have a happy holiday.

teejay

This is right up my alley. Do the following, each creditor that sends you a statement stating that you have 30 days to file a response, file a debt validation letter(google for those-I use a special one that is 2 pages long letting them know most of my income is garnish free) . This shows creditors you are not one to miss around with, I have been doing this for 2 years, they just send it to another collector. I will not send them even 1 dollar, screen all calls, and block the collectors. And finally, if you check your inital cc disclosure you will notice there is an arbritation agreement in them(they can't sue you in court-has to go to 1 of 3 companies that do these-not your local court). I f you can't find the original, those are easily found on the internet. Also, do what they tell you here for corresponding with the VA, send a signed return receipt for each creditor when you send them a letter. I have stacks of these-costs over 5.00 each, but this keeps you out of court till your state statue of limitations ends-each state is different. Mine is 3 years from the last payment. Or worse case file bankruptcy, or go to court with the above items in hand and make these creditors look bad. As you can probably see, this is my 2nd hobby other than fighting the VA. Good luck-any questions e-mail me with further details.

[Bonzai]

No one has post the CFR covering this, so after much research and dead ends. USC Title 38 Chapter 53 Section 5301 addresses the protected status of Veterans Disability payments

CFR 38 Chpt 53 Sec. 53 (a)(1) Payments of benefits due or to become due under any law administered by the Secretary shall not be assignable except to the extent specifically authorized by law, and such payments made to, or on account of, a beneficiary shall be exempt from taxation, shall be exempt from the claim of creditors, and shall not be liable to attachment, levy, or seizure by or under any legal or equitable process whatever, either before or after receipt by the beneficiary. The preceding sentence shall not apply to claims of the United States arising under such laws nor shall the exemption therein contained as to taxation extend to any property purchased in part or wholly out of such payments. The provisions of this section shall not be construed to prohibit the assignment of insurance otherwise authorized under chapter 19 of this title, or of servicemen's indemnity.

Hope this helps.

[GuaymasJim]

EXEMPTED INCOME

1.Social Security benefits and Supplemental Security Income (SSI) (42 U.S.C. § 407).

2. Veterans’ benefits (38 U.S.C. § 5301).

3. Federal civil service retirement benefits (5 U.S.C. § 8346).

4. Annuities to survivors of federal judges (28 U.S.C. § 376(n) ).

5. Longshore and Harborworkers’ Compensation Act (33 U.S.C. § 916).

6. Black Lung benefits.

Exemptions listed under 1 through 6 above may not be applicable in child support and alimony cases (42 U.S.C. § 659).

[Chuck75]

Here is one of the problems. A divorce judge has a lot of latitude in determining alimony and child support.

The amount determined is paid by the (veteran in this case),

even though the veteran's income may be mainly from disability payments.

The judge can rule that the veteran is liable for the full amount.

The key clause is "except to the extent specifically authorized by law".

This statement is too general, and as a result, a judge can rule against a veteran.

EXEMPTED INCOME

1.Social Security benefits and Supplemental Security Income (SSI) (42 U.S.C. § 407).

2. Veterans' benefits (38 U.S.C. § 5301).

3. Federal civil service retirement benefits (5 U.S.C. § 8346).

4. Annuities to survivors of federal judges (28 U.S.C. § 376(n) ).

5. Longshore and Harborworkers' Compensation Act (33 U.S.C. § 916).

6. Black Lung benefits.

Exemptions listed under 1 through 6 above may not be applicable in child support and alimony cases (42 U.S.C. § 659).