ANSWERS: 1
  • Payments from Social Security to you are not eligible for garnishment by anyone except the Federal government. Period. The problem is usually found in the bank account. If you have your SS funds direct deposited into an account that also receives funds from non-exempt sources (wages, etc) the funds become mixed; the bank computer does not segregate the SS funds. When a judgement for garnishment is presented to your bank, the bank draws on the account balance to pay off the creditor. Any funds in the account get taken and that means your SS funds go with it. In general, it's a very good idea to have a separate account that is used for SS funds ONLY. If the bank has taken your SS funds and given them to the state, you need to gather proof of SS-originated deposits and talk to them about giving the money back to you or else they can find themselves in violation of Section 207 of the Social Security Act (42 U.S.C. 407).

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