What is a levy?

A levy is a legal action taken by creditors to collect a debt that is owed to them. It is a process that is used when all other methods of debt collection have failed. In New York, creditors may obtain a court order to levy against a debtor’s bank accounts or other assets. This means that their money will be frozen or seized and they will no longer have access to it. The creditor can then take the funds to pay off the debt. A levy is not the same as a lien. A lien is a legal claim that secures the debt and gives the creditor the right to take possession of a debtor’s property if the debt is not paid on time. A levy, on the other hand, actually takes possession of assets and transfers them to the creditor. In New York, creditors must comply with certain state laws before initiating a levy. For instance, they must send a notice to the debtor informing them of the pending legal action and giving them the right to dispute the debt. They must also prove that the debt is legitimate and that they are the rightful owner of the debt. Levies are one of the strongest weapons available to creditors in collecting a debt and can be effective when other methods are unsuccessful. Although creditors have a right to pursue this type of action, debtors should always seek legal advice before attempting to resolve the issue.

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What is a levy?

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