Have you been garnished by a creditor who obtained a judgment against you? You may already know that filing a bankruptcy means that they cannot garnish you any longer. But did you also know that you might get the money back they already took?
That is the good news about a prepetition garnishment in the 90 days before you file for bankruptcy. This includes garnishment of your wages or your bank account or any other transfer of property.
Of course there are some potential problems that you should consult a bankruptcy attorney about just to be sure this applies. First that great bankruptcy attorney needs to file an adversary proceeding to get that money back. Then you need to make sure your attorney has “exempted” the funds on the schedules and check to make sure that creditor would not receive more than in liquidation.
So far we have been able to get our client’s garnished money back. That makes us proud to serve.