(856) 686-9910New Jersey Debt Relief Lawyer Explains What to Do When Your Funds Are Frozen
A levy on your bank account can create havoc with your ability to handle your finances. Outstanding checks will not be honored, and no new ones can be written that will be any good either. This situation can lead to significant disruptions in your financial routine, as you may be unable to access funds for essential transactions. Consequently, paying bills, managing daily expenses, or even fulfilling payroll obligations if you own a business becomes a major challenge. How do you pay your bills? As a New Jersey debt relief lawyer, I have experience helping clients when their accounts are levied.
How Long the Bank Account Be Frozen
How long will it take to use the account again and deposit money? The answer to that question, however, is not definite. How long it takes depends on the creditor and, surprisingly, you.
It Depends on the Creditor
The length of time the money is frozen depends in part on how long it takes the creditor's attorney to take action. There is a certain procedure that is followed under New Jersey law when it comes to bank levies. First, the creditor's attorney gives a county court officer levy paperwork identifying the bank (and sometimes your account number). That officer then goes out to the bank, at some point, and serves the levy paperwork. The bank will then freeze the funds (and charge you $125 for doing it)!
The court officer then reports that the funds are frozen to the creditor's attorney. This does not put the money in the creditor's hands; it just takes it out of yours. The bank is holding onto it.
To get the money, the creditor's attorney must then file a motion with the court asking for an Order for Turnover of Funds. This court order allows the court officer to take the money out of your account, which then effectively releases the account (most times with a $0.00 balance).
It Depends on You
But it also depends on whether you take prompt action; your fate is somewhat in your hands. Once you get the notice of the bank levy, you don't have to wait for the creditor to make a motion to get the money. You can strike first by making a motion to object to the levy. You have rights and defenses and can get back at least some of the money.
But how do you do that? Just download my Bank Levy Survival Kit and follow its instructions to learn more. Courts try to schedule hearing dates as soon as possible to avoid your money being tied up any longer than it has to.
Win the War, Not Just the Battle
But getting your bank account unfrozen only wins the battle, not the war. Unless the creditor gets enough money out of the account to satisfy the debt after the battle, you still have a debt. You must make a deal for affordable payment arrangements with the creditor's attorney.
Don't want to do this yourself, or have you tried to do it and failed? Do you owe more than $10,000 to the creditor? Then I can help! If you live in New Jersey, realize that you need a lawyer to represent you in negotiations, and are ready to take action, just click this link to schedule a call with me to discuss your case. I have represented creditors for many years and am familiar with the collection industry and how it ticks. Put my experience to work for you!
Want more information on how to fight back with your creditors? Then download my free book, The Biggest Secrets Your Creditors Don't Want You to Know. Become empowered and protect your rights!
Are you a visual learner rather than a reader? Do you enjoy watching YouTube to learn new things? Then check out my 3-part video series on how creditors use lawsuits in New Jersey to collect debts. Just click here for more information on how to get the links.
