Answers about Garnishments

Is my bank allowed to charge me a fee when it receives a garnishment order against me?

It depends.

There are limitations on what fees a bank is permitted to charge if the only money you have in your account on the day of the bank’s review is automatically protected from being garnished. In that case, the bank may charge a garnishment fee only if funds other than a protected federal benefit payment are deposited in the five business days following the account review and the garnishment fee does not exceed the non-benefit deposited funds.

If you have funds in your account that exceed the automatically protected amount, the bank may charge a garnishment fee against the excess amount only.

September 2017