Will bankruptcy stop wage garnishment?

Yes, bankruptcy will stop wage garnishment in Rhode Island. When a person files for bankruptcy, an “automatic stay” is put into effect. An automatic stay is a legal term that prevents creditors from taking any action against the debtor. This includes any attempt to garnish wages. Creditors are not allowed to take any action against a debtor while the case is in progress. In Rhode Island, wage garnishment can only take place after a creditor obtains a court judgment against a debtor. In such a situation, filing for bankruptcy puts a stop to the creditor’s ability to pursue the debt. Accordingly, filing for bankruptcy will generally stop wage garnishment by creditors. It is important to note, however, that wage garnishment for certain debts may be allowed even if the debtor has filed for bankruptcy. These exceptions include cases of child support or alimony, certain taxes, and student loans (in some cases). In these instances, the creditor can still garnish wages even after the automatic stay has been put in place. In conclusion, filing for bankruptcy in Rhode Island will generally stop wage garnishment. However, there are certain exceptions where creditors may still be able to garnish wages after the debtor has filed for bankruptcy.

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Will bankruptcy stop wage garnishment?

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