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Ask Dave

Threaten to Garnish

The debt collection agency is telling Mike they will garnish his wages for unpaid medical bills, but Dave calls their bluff.

QUESTION: Mike got a call from a debt collector on $2,000 in medical bills. They said they would garnish his wages. He’s worried that they’ll do it. Dave tells him not to worry.

ANSWER: They won’t garnish your wages because they have to sue you first and win, then apply for a garnishment. But that’s three or four months away, so this is a total bluff on their part. When they said they would garnish your wages but hadn’t sued you, they broke federal law, which is something these morons do on a daily basis. Don’t react in fear and panic when they threaten to garnish. Have a big garage sale this weekend and clean this mess up. Then when you are debt free, get a big emergency fund in place.