Hello - I have a state judgment against me for a car I returned, my question is< Can my Federal Refund be taken to pay for this debt?

Hello - I have a state judgment against me for a car I returned, my question is< Can my Federal Refund be taken to pay for this debt?


No, Judgment creditors cannot "tap" into tax refunds with the exception of child/spousal support and student loans. Of course, if you owe back taxes you won't get the refund.

However, Judgment creditors can lien against bank accounts and grab the money when it's deposited.

(I don't understand what you mean by a "State judgment.")

It was a judgment here in my county court for the balance I owed on the car. You say they can take it from the bank account that it would go into, but how would they know?

It was a judgment here in my county court for the balance I owed on the car. You say they can take it from the bank account that it would go into, but how would they know?



Then it's just a standard Judgment, nothing Government related.

They would put a freeze or lien against your bank account and seize the refund when it hits the bank - it's a random freeze and the Judgment creditor would not know in advance that you are receiving a refund.

I see liens against accounts filed in the Spring in anticipation of refund checks being deposited.

So if I were to have the refund put on a prepaid debt/credit card, I would be safe?

Thanks for your help!!!:)

So if I were to have the refund put on a prepaid debt/credit card, I would be safe?

Thanks for your help!!!:)



I would check with the bank - I see two sides to this.

One side - it's a prepaid money card. The money isn't actually in the bank.

Other side - it is an asset, it is available to you, judgment creditors can move against your assets.

Take a look at the monthly statement - is this the same as cash? If so - buy money orders and hide them under your mattress. And I'm only half joking.