Full question:
If I have a civil judgement against me in NJ for $40,000 and want to set up a payment plan but the other side says no--all of it right now....Do I have any legal way to set up a reasonable payment plan?
- Category: Judgment Liens
- Date:
- State: New York
Answer:
The winner of a civil judgment is not required to accept a payment plan. When a court grants a creditor an interest in a debtor's property, a judgment lien is created. This lien can be filed if a judgment is obtained from a court. If the judgment is unpaid, the judgment debtor can ask the court to place a lien on their property, such as bank accounts or real estate, to secure payment to the creditor.
If the judgment remains unpaid, the creditor may enforce the judgment through property sale or wage garnishment. A creditor can request a court order for garnishment of the debtor's wages, which is served to the debtor's employer. This order requires the employer to withhold a portion of the debtor's earnings to pay the creditor. Wage garnishment is governed by state law, and certain types of income, like welfare or Social Security, are exempt from garnishment. Generally, the garnished amount cannot exceed 25 percent of the debtor's disposable earnings or the amount above 30 times the federal minimum wage.
This content is for informational purposes only and is not legal advice. Legal statutes mentioned reflect the law at the time the content was written and may no longer be current. Always verify the latest version of the law before relying on it.