Being disabled and unable to work is difficult enough. Being disabled, unable to work, being in debt and dealing with a particularly harassing debt collector is even worse. People who are disabled and collecting Social Security Disability can rest assured on one important issue: in most cases, Social Security Disability payments are exempt from garnishment for debt collection.
However, as noted here, not every debt collection agency cares about that particular aspect of the law. This situation gets more difficult as more and more claimants are opting for direct deposit for their claim. This will allow debt collectors to request the garnishment directly from the bank itself. While banks are supposed to keep watch if the payments are coming from Social Security for Disability, not every bank is successful about policing every account receiving deposits from the Social Security Administration.
It is important, that if you set up direct deposit for your claim, and are awarded Social Security Disability benefits, that you make it very clear to your bank which account is receiving those benefits. This will make it easier for the bank to know which account cannot be subject to garnishment should a debt collector come after you. If you are being harassed by a debt collector despite this, in a manner in violation of the law, then you should seek independent counsel to discuss your rights under the Fair Debt Collection Practices Act.
If you are looking for assistance filing for Social Security Disability benefits, contact Greeman Toomey, PLLC at 877-332-3252.
