Wage Assignment: a voluntary agreement between the employee (you the debtor) and the creditor that was made under the original terms of the loan. In that agreement, you as the consumer agreed to have your wages assigned in the event you defaulted on the loan.
Wage Garnishment: unlike a wage assignment, a wage garnishment withholds funds from you as the consumer through a court order. This means the creditor followed proper legal proceedings through the court system to take funds out of your paycheck check to satisfy the debt.
How can you stop either a wage assignment or wage garnishment?
*Debt settlement: debt negotiations are a viable option worth exploring. This is the process where the creditor is contacted by the debt negotiation company (Reliable Debt Consultants) and the debt is negotiated under terms that are more financially reasonable.
*Wage revocation letter: in most cases, a wage revocation letter is mailed to your creditor which removes the voluntary assignment of wages. In that event, your debt negotiation company will communicate with your creditor to discuss the possibility of a settlement arrangement.
Disclosure: Reliable Debt Consultants is not a law firm and cannot provide any legal advice. If you have specific legal questions about wage assignments and wage garnishment, please consult with legal counsel.
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