Ask Experts Questions for FREE Help !
Ask
    Blrdpwrsys's Avatar
    Blrdpwrsys Posts: 1, Reputation: 1
    New Member
     
    #1

    Jun 30, 2007, 01:41 PM
    Garnisment of business accounts
    I have a writ of garnishment against me in Fulton County, Ga. Consequently, my creditor froze my personal bank accounts. I am self-employed and I am a member of an LLC which has business accounts. Those business accounts were opened in the name of the business under a separate Federal tax ID number but I am the sole signatory. I am concerned that my business accounts may be subject to freezing to satisfy this debt. Are business bank accounts subject to seizure to satisfy personal debts?
    Fr_Chuck's Avatar
    Fr_Chuck Posts: 81,301, Reputation: 7692
    Expert
     
    #2

    Jun 30, 2007, 03:52 PM
    Not normally unless the debt is related in any way to the business, if the LLC is done properly. ( and not federal or state tax liens)

    But that does not mean they will not freeze the accounts, and you have to prove they are business accounts.

    But you have to be sure you do not pay any personal bills from that account, you don't pay your cable TV for the house, you do't pay the house payment and so on, It has to be business only. Once you start paying personal bills from it, it is then a personal account again.

Not your question? Ask your question View similar questions

 

Question Tools Search this Question
Search this Question:

Advanced Search

Add your answer here.


Check out some similar questions!

Accounts Payable and Accounts Receivable [ 3 Answers ]

I am Accounting specialist working as processor and reconciliation expert for international organization and Local company's on Accounts PAYABLE AND ACCOUNTS RECEIVABLE . It is presently home base processing centre in toronto will be open in Sri Lanka Too If any body interest on above I...

Accounts receivable- uncollectible accounts [ 6 Answers ]

How can a business protect against uncollectible accounts? Which protection measures do you think are worth the expense?:confused:

Bank garnisment, TX [ 1 Answers ]

Can bank account be garnished if account contains only money earned from wages, which are not garnishable?

Business to business vs Business to Consumer retail [ 1 Answers ]

How does Business to business retail differ from business to consumer retail?


View more questions Search