SSDI and garnishment for bills?

Discussion in 'Fibromyalgia Main Forum' started by foxglove9922, Mar 26, 2006.

  1. foxglove9922

    foxglove9922 New Member

    After 5 longs years of CFS as a single mom with a daughter who also has CFS, the bills are catching up with us terribly. I had trouble sleeping last night wonder when the bottom will fall out.

    Does anyone here know if SSDI can be garnished for unpaid bills? We are also getting assistance for our power bill and food stamps.

    Any advise would be greatly appreciated. foxglove
  2. rockgor

    rockgor Well-Known Member

    was discussed recently. Some posters said your Soc. Sec. check can not be attached or garnisheed. However, your bank account can.

    So you have to keep your money under the mattress, in a relative's account, etc.
  3. foxglove9922

    foxglove9922 New Member

    The only thing going into my bank account is my SSDI check.

    How do you pay your bills if you don't have a checking account?
  4. NyroFan

    NyroFan New Member

    When I got my back payment for SSD, the IRS came after me for a piece, Social security came for a piece of the action for a contract I worked on and should have sent them taxes quarterly, but did not. Then came Motor Vehicles for speeding tickets. It is funny, I feel like Big Brother knew every move I made and yes, they threatened me with garnishment. I paid all of it off at once and poof went the back payment. Nice story, huh?
  5. chickabee

    chickabee New Member

    In certain cases, you creditors can "freeze" your bank account and then you can't get any of your money out. I was adviced not to use checking account, but money orders. That way, they can't take your money from you.
  6. Greenbean7

    Greenbean7 New Member

    Hi Foxglove,

    I looked this up on an SSI website. Don't know if this will answer your question, but thought I'd give you the info anyway!

    The last lines says SSI cannot be garnished, but I don't know if that is the same for SSDI or what the difference is.

    Can Social Security benefits be garnished to pay a debt?

    Section 207 of the Social Security Act (42 U.S.C. 407) protects Social Security benefits from assignment, levy, or garnishment. However, the law provides five exceptions:

    ? Section 459 of the Act (42 U.S.C. 659) allows Social Security benefits to be garnished to enforce child support and/or alimony obligations;

    ? Section 6334 (c) of the Internal Revenue Code (26 U.S.C. 6334 (c)) allows benefits to be garnished to collect unpaid Federal taxes;

    ? Section 3402 (P) of the Internal Revenue Code allows beneficiaries to elect to have a percentage of their benefits withheld and paid to the Internal Revenue Service to satisfy their Federal income tax liability for the current year;

    ? The Debt Collection Act of 1996 (Public Law 104-134) allows benefits to be withheld and paid to another Federal agency to pay a non-tax debt the beneficiary owes to that agency: and

    ? The Tax Payer Relief Act of 1997 (Public Law 105-34) authorizes the Internal Revenue Service to collect overdue federal tax debts of beneficiaries by levying up to 15 percent of each monthly payment until the debt is paid.

    The Social Security Administration's responsibility for protecting benefits against legal process and assignment usually ends when the beneficiary is paid. However, once paid, benefits continue to be protected under section 207 of the Act only as long as they are identifiable as Social Security benefits. This applies to money in a bank account where the only payments into the account are from direct deposit of Social Security benefits.

    NOTE: Supplemental Security Income payments cannot be levied or garnished.

  7. 69mach1

    69mach1 New Member

    you may want to stop the direct deposit and use money orders pay bills...a lot of people do this....and keep money out of your account or maybe put it into a trusted family memebers account.... may have your answers as well

  8. foxglove9922

    foxglove9922 New Member

    Thank you ever so kindly for everyone who replied.

    I'm not totally over,,,,,,,yet! but the medical bills are mounting as well as credit cards. Other than that, I have no outstanding bills at this point....just teetering on the edge.


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