What does it mean to "attach" someones bank account?

Question

I have heard this term before, how does it work?

is it like freezing it or is it just taking money out whenever there is some there to take?

how does it work??

do people who owe money for student loans, can they have this done?

WOULD THEY REALLY DO THIS IF I ONLY HAVE A FEW HUNDRED DOLLARS IN THERE??

SAY $500?

WHAT IF IT IS A BUSINESS BANK ACCOUNT FOR A SOLE PROPRIETORSHIP?

Answer 1

A attachment of a bank account just does not happen without a court hearing, and the person who has their account attached knows they are not paying the bill. A court can order a certain amount of funds be taken from your bank account to pay what you owe.

Enya <3

Answer 2

The form this takes is usually a garnishee order. This is a court order instructing a garnishee (a bank) that funds held on behalf of a debtor (the judgement debtor) should not be released until directed by the court. The order may also instruct the bank to pay a given sum to the judgement creditor (the person to whom a debt is owed by the judgement debtor) from these funds. There is no point in applying for a garnishee order unless you know the funds are there.

In the case of people working for public authorities, an attachment of earnings order is possible, whereby a modest amount is deducted each month from the earnings of the person concerned, so that as it flows in, some of it flows out towards satisfying the debt. Before you can ask the court to issue an attachment of earnings order the defendant must be behind with at least one payment (called 'being in arrears'); and the amount he or she still owes you must be £50 or more. I don't know how the student loans system works, but this might well be a possibility.

Answer 3

You owe a debt to another person or company. They, the plaintiff, have to go through a legal process, of which you, the defendant, have to be served and notified of the entire course of the action, to obtain a judgment against you. Because of the legal requirements, there is no way that you could not have known this was happening or going to happen. If the court rules in the plaintiff's favor, the plaintiff obtains a judgment against the defendant. By failing to participate in the court proceedings, and/or by losing, it is more than likely that, not only have you been found liable to pay these amounts to the plaintiff, but that you have also been ordered to pay all of plaintiff's attorneys' fees and costs as well. If you fail to pay that judgment within a prescribed amount of time, of which you also have to be advised, the plaintiff may then take steps to determine what monetary holdings you have. They will then apply to the court to obtain the right to "attach" your bank account, in the form of a bank levy and/or wages in the form of wage garnishment. For a bank levy, they can take all of the money that is in any and all of your bank accounts, if you have more than one. They are not obligated to leave any money in that account. For a wage garnishment, they can only take a percentage of your income. Unless your business is incorporated, they can also attach business bank accounts. This is the biggest reason why people incorporate. Student loans are not only considered a non-dischargeable debt, but they are also a federal debt, which means that they are considered a high priority debt and carry as much importance as taxes or a mortgage. Legal proceedings are not one of those things that, if you close your eyes and ignore it, it will go away. They go on without you and it is in your best interest to take part in the proceedings from day one and do all you can to mitigate the damages to yourself by making payment arrangements as soon as you can. The one saying that does apply here, is, it is never too late.

Answer 4

It means you have no access to your accounts and your creditor will take the money in it and any future funds deposited in it.

You owe the taxpayers for your student loans and you will pay the loans one way or the other. They can also attach any paychecks you get, seize any valuable possessions you may have (like your car) and any other assets you may have or get in the future until the debt is satisfied.

Where do you think that money came from, why do you think they call it a "loan" (as in, you MUST PAY IT BACK), and why do you think you are entitled to a free ride.

It would be easier if you called the creditor and made arrangments to start repaying what you owe on a regular monthy plan. If not, they will just keep taking your "stuff" until it's paid for.

Answer 5

Once someone you owe money to gets a judgement for the debt, they can apply to the court to attach your bank account. That way, when any money goes into your account, a percentage of it can be taken out to repay the debt. It used to be called a third party garnishee order, but the name has changed. If you owe someone money the best thing is come to an arrangement with them before they take court action.