Debt Collection and Social Security Disability Benefits

Dallas Disability Attorney Stanley Denman's Blog

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Denman Law Office

Social Security Disability Attorney
5025 North Central Expressway
Suite 2004
Dallas, TX 75205
United States
Phone: 214-219-7288

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Debt Collection and Social Security Disability Benefits

 

Federal Law prohibits the seizure of Social Security Disability Benefits to collect on a debt. But many debt collectors do not follow the law (what a surprise).Debt collectors who have secured a money judgment sometimes go after money held in bank accounts of Social Security Disability recipients. This is illegal! Typically once a debt collector has a legal judgment they will send the debtor's bank what is called an "Order of Garnishment." Normal banking practice, when presented with an Order of Garnishment, is to put a hold on the bank account, regardless of whether the moneys in the account are those deposited by the Social Security Administration for disability, and therefore not legally subject to garnishment by the creditor. Debt collectors are getting around the law that prohibits the seizure of Social Security monies because banks are not checking to see if any of the money in the account is Social Security benefits. New banking rules are now being written that are designed to stop debt collectors from using banks to seize your Social Security Disability benefits.If your bank gets an Order of Garnishment, the bank will now be required to check your account to see if you received any Social Security Disability benefits within the last 2 months. If so, your bank will be required to protect your Social Security Disability benefits from seizure.These rules will help protect you! If someone you know has had their Social Security Disability claim denied, we can help. We are only a phone call away - Our phone number is 214-219-7288

Dallas TX Attorney Stanley Denman has limited his law practice to social security disability since 1991.Google

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Comments

While working, I was on a contract with Verizon. My job went out of business and I broke the contract for financial reasons. Now they turned me in to a collection agency and call a lot asking for a payment. Can I be sued for breaking the contract? I am currently on disability and unable to work.
Posted @ Thursday, February 28, 2013 2:15 PM by Patti
The information about the Debt is pretty amazing and the article is also pretty amazing. I want to read this information with my friends. Thanks for sharing this article. 
Posted @ Friday, April 18, 2014 3:40 PM by Debt Collection Singapore
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Dallas Fort Worth/DFW Texas attorney Stanley F. Denman serves disabled workers who have been denied social security disability benefits in North and East Texas, including Dallas, Texas, and the Metroplex, the following cities: Allen, Arlington, Bedford, Boyd, Carrollton, Corsicana, Denton, Denison, Decatur, DeSoto, Duncanville, Ennis, Fort Worth, Flower Mound, Frisco, Garland, Grand Prairie, Greenville, Hurst, Irving, Kaufman, Lewisville, Longview, Mesquite, McKinney, Murphy, Plano, Red Oak, Richardson, Rowlett, Sherman, Terrell, Tyler, Waxahachie, Weatherford, and Wylie, and the following counties: Collin, Dallas, Denton, Ellis, Erath, Gregg, Grayson, Harrison, Hunt, Kaufman, Navarro, Tarrant, Parker, Rockwall , Smith, and Wise.

 

NOSSCR Member Stanley Denman