View Full Version : What are the bank levy laws in Texas?
Pinkmadness
May 20, 2008, 09:29 AM
I recently had a judgement filed against me for non-payment of an auto loan. Does this entitled them to levy my bank account for the money that is owed to them? Please advise!
slowandeasy
May 20, 2008, 03:54 PM
Yes I believe they can. Texas does not allow garnsiment of pay checks but gives the creditor the right to levy or "freeze bank accounts" If you got a warrant in debt and did not appear to defend then most likely they got a default judgement which allows them to attach your bank account A judgement is issued by the court
thebatman
Jun 6, 2008, 05:10 PM
Only the IRS can levy a bank account in Texas
JudyKayTee
Jun 18, 2008, 06:55 AM
Only the IRS can levy a bank account in Texas
You've now posted this misinformation twice. I realize you work in a bank in Texas that for whatever reason won't honor a levy against an account owner and apparently has not be challenged. However -
Here's Texas law straight from a Texas collection Attorney:
"Now, it's important to understand that once you deposit your paycheck into your bank, it's no longer considered wages. In fact, once it's in your bank, it's fair game and a judgment creditor can have a Writ of Garnishment issued from the Court, which freezes those funds. You have the right to a hearing, but normally the money ends up going to the creditor. If you have checks out on those funds, it's just too bad, the checks bounce. It's a mess.
Therefore, it's not a good idea to have money in a bank account if you have a judgment against you. It could be garnished."