If you’re being sued for credit card debt — or already lost a lawsuit — you’re probably asking:
“Can they garnish my wages?”
The short answer is:
👉 Yes, in many states, a creditor can garnish wages — but usually only after getting a court judgment.
However, there are important limits, exemptions, and defenses that may protect you.
Here’s what you need to know.
When Can a Creditor Garnish Wages?
In most cases, a credit card company or debt buyer must:
- File a lawsuit
- Win the lawsuit (or get a default judgment)
- Obtain a court judgment
- Request a wage garnishment order
They usually cannot garnish wages without first getting a judgment.
⚠️ Exception: Certain debts like child support, taxes, and federal student loans have different rules.
What Is Wage Garnishment?
Wage garnishment is a legal process where your employer is ordered to:
- Withhold part of your paycheck
- Send that money directly to the creditor
The garnishment continues until:
- The debt is paid
- The judgment is satisfied
- The court stops the garnishment
How Much of My Paycheck Can Be Garnished?
Under federal law, most creditors can garnish the lesser of:
- 25% of your disposable earnings, OR
- The amount by which your weekly income exceeds 30 times the federal minimum wage
“Disposable earnings” means what’s left after legally required deductions (like taxes).
Some states provide stronger protections and limit garnishment to less than 25%.
Can Credit Card Companies Garnish Wages?
Yes — but only after a judgment.
This includes lawsuits filed by:
- Capital One
- Discover
- Chase
- Synchrony Bank
It also includes debt buyers like:
- Midland Funding
- Portfolio Recovery Associates
- LVNV Funding
- Cavalry SPV
- Jefferson Capital
If they sue you and win, wage garnishment may follow.
What If I Never Went to Court?
If you ignored the lawsuit and didn’t file an Answer, the creditor may have obtained a default judgment.
Many consumers first learn about a lawsuit when their wages are garnished.
If that happens, you may still have options — but time is critical.
Can All Income Be Garnished?
No. Certain types of income are protected (exempt) from garnishment.
Common protected income includes:
- Social Security benefits
- SSI (Supplemental Security Income)
- Veterans benefits
- Disability benefits
- Some retirement income
- Certain public assistance
However, once funds are deposited into a bank account, things can become complicated.
Mixing protected and non-protected funds may cause problems.
What States Do NOT Allow Wage Garnishment for Credit Card Debt?
A few states either prohibit or severely restrict wage garnishment for most consumer debts.
For example:
- Some states limit garnishment more than federal law
- Some require additional procedures
- A few states restrict wage garnishment for consumer debts entirely
State law matters significantly.
What Happens After Garnishment Starts?
Once garnishment begins:
- Your employer receives a court order
- A portion of each paycheck is withheld
- Payments continue until the judgment is paid
In some states, the garnishment may include:
- Post-judgment interest
- Court costs
- Attorney’s fees
If you change jobs, the creditor may need to re-serve the new employer.
Can I Stop Wage Garnishment?
Possibly. Options may include:
1️⃣ Claiming Exemptions
If your income is protected, you may be able to file an exemption claim with the court.
This may reduce or stop the garnishment.
2️⃣ Filing a Motion to Vacate Judgment
If the judgment was entered by default and you were not properly served, you may be able to ask the court to reopen the case.
If successful, the garnishment may stop.
Deadlines for this are often strict.
3️⃣ Negotiating a Settlement
Creditors may agree to:
- Stop garnishment
- Reduce the balance
- Accept lump-sum payments
- Set up payment plans
Sometimes settlement can be negotiated even after garnishment begins.
4️⃣ Bankruptcy (In Some Cases)
Filing bankruptcy can immediately stop wage garnishment through the automatic stay.
Bankruptcy is a serious decision and depends on your financial situation.
What If I Can’t Afford to Lose 25% of My Pay?
Many people cannot afford garnishment.
If garnishment causes hardship, you may:
- Request a reduction
- Claim exemptions
- Negotiate with the creditor
- Explore legal remedies
Do not ignore a garnishment notice. Respond quickly.
Can My Employer Fire Me for Garnishment?
Under federal law, an employer generally cannot fire you because of one garnishment.
However, protections may vary if there are multiple garnishments.
What If I’m Self-Employed?
Wage garnishment typically applies to employees.
If you are self-employed, creditors may pursue other collection methods such as:
- Bank levies
- Property liens
- Asset seizure (depending on exemptions)
How to Avoid Wage Garnishment in the First Place
The best way to avoid garnishment is to respond early in the lawsuit.
If you:
- File an Answer
- Raise defenses
- Challenge standing
- Assert statute of limitations
- Demand proof
You may be able to:
- Prevent judgment
- Negotiate better terms
- Get the case dismissed
Once a judgment is entered, your options become more limited.
Frequently Asked Questions
Can they garnish my wages without going to court?
For credit card debt, typically no. A judgment is usually required.
How long does wage garnishment last?
Until the judgment is paid or otherwise resolved.
Can they take my whole paycheck?
No. Federal and state laws limit how much can be garnished.
Does wage garnishment affect my credit?
The judgment may affect your credit, and the underlying debt may remain reported.
The Bottom Line
Yes — a creditor can garnish your wages for credit card debt, but usually only after winning a lawsuit.
The amount is limited by law, and certain income may be protected.
If you’ve been sued or already have a judgment, acting quickly can make a significant difference.
Ignoring the lawsuit is what most often leads to garnishment.
Need Help With a Debt Collection Lawsuit or Garnishment?
If you’ve been sued by Midland Funding, Portfolio Recovery, LVNV, Cavalry SPV, Jefferson Capital, or another creditor, you may have options to:
- Prevent default judgment
- Challenge standing and documentation
- Raise statute of limitations defenses
- Stop or reduce wage garnishment
- Negotiate settlement
The sooner you act, the more leverage you may have.
