Can Garnisheed Funds Be Returned In A Bankruptcy

2008-03-15

Lorraine, Funds that have been garnisheed from your paycheque are usually held in court until the court has determined that you do, in fact, owe the money and the court issues a judgement. If the funds are still in court on the day you file bankruptcy, they will go into the bankruptcy, not back to you. I am afraid your friend is wrong. Depending on your situation, those funds may be able to cover some or all of the cost of your bankruptcy and a bankruptcy will certainly prevent any further garnishee. Please call 310-9700 (a local call from anywhere in Saskatchewan) during business hours to discuss this further or book an free initial consultation. Ian Schofield Regina, Saskatchewan