Court order enforcement

Someone with a judgment can garnish bank accounts.

 

as in, I apply for a garnish and one day the account gets frozen without the knoweldge of the owner?

obviously once thats frozen, they will change any deposit details to a different account.

and then what happens?

 

Not sure if this helps. http://www.financialcounsellors.org/counsellors/documents/CENTRELINKPAYMENTSANDGARNISHEES_000.pdf

Best to check the legislations cited in the short summary.

 

Barclays will garnish centrelink payment

 

With garnishing the account isn't frozen, but money is taken out.
There is also a possibility that payments are garnished - such as wages.

Now, I don't know if centrelink payments can be garnished themselves as this income is generally very low and probably under the threshold - the person needs a minimum amount to live on.
But once the centrelink payments are in a bank account the the balance of the account could be garnished - to a certain level.

If they know this, the person will just keep their money in cash, or with someone else.

 

Many lifetimes ago. The details are sketchy.
But i had an ing direct account with all my savings in it.
At the time i had been knowingly or unknowingly through a civil case for a debt. Where i was being sued.
One day i tried to transact on it ans withdrsw and it said balance available was zero . So i called up and said wtf. They said there was a court order whixh had frozen my account.

Is this the garnishing situation you ar referring to?

There was enough money to cover the amount of the debt but was never touched.

 

Freezing and garnishing are 2 different things.

 

fair enough.....

 

No chance

 

Petrol station robberies and home invasions.

Off with their heads!!

 

Such a system that guarantees payment following a court order would make people actually more responsible for their actions. Our society is moving towards the opposite. Just like when you purchase by credit card. Most of the rights (true or false) are with the buyer (card holder) and not the seller of the goods or services.

These convoluted and expensive processes to recover your money seem to just drum up more fees for more people that promise they can help but can't guarantee any better outcome either.

 

As Terry mentioned before - did you have a better system in mind?

 

as I mentioned before, a simpler cheaper, quicker, more straight fwd process to be able to garnish or even freeze accounts,

less generous exceptions to the "oh they need some money to live off" type of excuses,

an automated system that garnishes or at least makes it unaccessible for lump sums such as tax returns, annual leave, centrelink

 

What about minimum living expenses? Would you take the full centrelink benefits from a single mother with 6 kids?

 

I didnt say garnish the entire centrelink payment, I did say less generous,

I do find the rules and the laws in these sorts of scenarios, very bureaucratic , and unfair

however I do feel the system is working when I see a fairly expensive car with wheel clamps on it in a shopping centre car park!

dont forget to spare a thought, there is the victim that needs to be considered, if the victim is a multinational bank, no one is going to starve, but if its an individual, they could also be suffering worse that the offender due to their actions

 

Others would say the victim owns a house whereas the offender doesn't. Therefore the victim could sell if the suffering becomes too much.

 

Maybe the bank account from which the Centrelink payments are deposited.

 

A better system:
Make landlord insurance with rent default compulsory....
And then make tenant pay for the landlord insurance.... (just like that the lenders ask us to pay for mortgage insurance)

 

A better system:
Centrelink should provide a zero-interests loan to the Centrelink benefit receiving tenants to repay the debt to landlords

 

Unless the tenant has assets do nothing as the judgment order will prevail for 12 years (if your in QLD) and the order will be registered with VEDA. If the tenant has a job, you can seek an order of the court for a redirection of payments order (AKA garnish her wages). At the end of the day and if you know where they are, its best to serve a bankruptcy notice. Why deal with the stress of an enforcement process when you can hand it to the trustee.

Let them do the work.

Note: only take the bankruptcy angle if they have some financial weight or standing. If they have nothing then do nothing.

Sorry to hear about your debt but best of luck in recovering