If you Owe more than $30,000 contact us for a case evaluation at (833) 428-0937
contact us for a free case evaluation at (833) 428-0937
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Can you stop an administrative wage garnishment once it starts?

Yes, you may stop an administrative wage garnishment once it starts. If you did not have a hearing, have new evidence or changed finances it may stop.

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Can you stop an administrative wage garnishment once it starts?

Yes, you may be able to stop an administrative wage garnishment once it starts.

Stop Administrative Wage Garnishment

How Does An Administrative Wage Garnishment Start?

The Treasury will send you a notice of its intent to order an administrative wage garnishment.  Thereafter, you can request a hearing.  The hearing is usually a "paper hearing".  This means you do not appear personally. Instead, you submit a legal brief and supporting evidence.  However, if you fail to request a hearing timely, the Treasury will issue an administrative wage garnishment order to your employer.  Similarly, if the hearing is held and the hearing officer finds in favor of the government, your wages will be garnished.

Submit A Late Hearing Request

Once the administrative wage garnishment starts, you may stop it in limited circumstances.   As stated, if you fail to submit your hearing request, the administrative wage garnishment order will issue.  However, you can still submit a hearing request late.   Thereafter, if a hearing officer does not make a decision within 60 days, the administrative wage garnishment will be suspended.  The suspension will go into effect on the 61st day after your hearing request.

You Obtain New Evidence

If you did request a hearing and the hearing officer ruled against you, you may obtain a new hearing if you obtain new evidence.  However, the government will not provide you with a new hearing simply because you disagree with the hearing officer's initial decision.  Instead, you must have obtained new evidence that would exonerate you from the administrative wage garnishment.

Your Financial Situation Changes For The Worse

If your wages are subject to garnishment but your financial circumstances change, you may qualify for a financial hardship exemption.  For instance, at the time of the original hearing your spouse may have been employed.  But in the interim, your spouse suffered a lay off and remains unemployed, cutting your household income in half.  As such, you may request a new hearing based on the financial hardship the garnishment now causes as you can't meet your basic living expenses.  Keep in mind, you will have to provide financial documentation to prove the garnishment constitutes a financial hardship.

Contact Protect Law Group Today If The Government Is Garnishing Your Wages

Our attorneys have years of experience dealing with administrative wage garnishments.  Contact us today for a free initial consultation - 833-428-0934

Why Hire Us to Help You with Your Treasury or SBA Debt Problems?

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Millions of Dollars in SBA Debts Resolved via Offer in Compromise and Negotiated Repayment Agreements without our Clients filing for Bankruptcy or Facing Home Foreclosure

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Our Attorneys are Authorized by the Agency Practice Act to Represent Federal Debtors Nationwide before the SBA, The SBA Office of Hearings and Appeals, the Treasury Department, and the Bureau of Fiscal Service.

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$680,000 SBA COVID-EIDL LOAN - SBA OHA LITIGATION

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$150,000 SBA 7A LOAN - NEGOTIATED WORKOUT AGREEMENT

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$298,000 SBA 7A LOAN - NEGOTIATED WORKOUT AGREEMENT

Clients obtained an SBA 7(a) loan for their small business in the amount of $298,000. They pledged their primary residence and personal guarantees as direct collateral for the loan. The business failed, the lender was paid the 7(a) guaranty money and the debt was assigned to the SBA.  Clients received the Official 60-Day Notice giving them a couple of options to resolve the debt balance directly with the SBA before referral to Treasury's Bureau of Fiscal Service. The risk of referral to Treasury would add nearly $95,000 to the SBA principal loan balance. With the default interest rate at 7.5%, the amount of money to pay toward interest was projected at $198,600. Clients hired the Firm with only 4 days left to respond to the 60-Day due process notice.  Because the clients were not eligible for an Offer in Compromise (OIC) due to the significant equity in their home and the SBA lien encumbering it, the Firm Attorneys proposed a Structured Workout to resolve the SBA debt.  After back and forth negotiations, the SBA Loan Specialist assigned to the case approved the Workout terms which prevented potential foreclosure of their home, but also saved the clients approximately $294,000 over the agreed-upon Workout term with a waiver of all contractual and statutory administrative fees, collection costs, penalties, and interest.

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