It is a common scenario in many different popular movies — a character is on the run and in an effort to catch them or keep them from getting far, orders to freeze their bank Account goes out. This leaves the character unable to access their money before they are inevitably tracked down and apprehended.
While it is a common reason to have your account frozen on the big screen, in the real world your Bank Account can be frozen because you owe money. You may have unpaid judgments against you, you may owe taxes or you may owe child support.
When your bank account is frozen, for whatever reason, it means that your account has been suspended. You will be unable to pay bills with checks, make transfers, withdraw money or fund your bill pay services.
A creditor judgment can request that the court issue an order that directs the bank to freeze your account if you have not paid anything towards the judgment or taken steps to pay the judgment. If you owe taxes or child support there are creditors that can get your bank account frozen without a judgment.
The bank has the ability to freeze up to twice the amount that is set out in the garnishment. If this number exceeds the amount in your account then the entire account gets frozen. If it does not exceed the amount then only part of your account will be frozen.
And while you might be able to still make deposits into your frozen account it might not be the best idea. There is the risk that any new deposits will also end up frozen. The same goes for money coming in as a direct deposit. You should take steps to cease any direct deposits in an effort to make sure you have access to your money.
When it comes to freezing your account the bank is required to notify you when it receives the attachment. Unfortunately by the time you receive the notice your account will most likely already be frozen.
There are ways to challenge the freeze on your account and exemptions that exist. These will be outlined in the notice and are deadlines for you to adhere to if you would like to object or challenge it.
If you or a loved one are facing problems with a Frozen Bank Account then you should consult an experienced attorney to help you reclaim hold of your finances. The Law Office of Joel R. Spivack Esq. in New Jersey has the experience to aid you with your debt relief.
Contact our office today at 856-488-1200 to set up a free consultation and begin discussing your legal options.
The articles on this blog are for informative purposes only and are no substitute for legal advice or an attorney/client relationship. If you are seeking legal advice, please contact our law firm directly.
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