In most cases, your bank account can be levied only after a
judgment has been entered against you. Filing a bankruptcy petition in Georgia
triggers an automatic order that stops bank levies. In other words, the bank
levies must be released immediately. The order is automatic and is effective
immediately upon filing the bankruptcy. If a creditor continues the bank levy
after the filing of bankruptcy, the creditor must pay the money back
immediately, even if, at the time of the bank levy, the creditor honestly did
not know about the bankruptcy filing. If a creditor refuses to pay the money
back after having notice of bankruptcy, the creditor can be sued. In some cases
money that was levied before the filing of the bankruptcy can be recovered
through the bankruptcy process.
Filing of a bankruptcy will discharge some or all of the
debts that have caused the bank levy. Once the debt is wiped out through the
bankruptcy process, the threat of a future bank levy for that debt is gone.
Under other circumstances, filing of a Chapter 13 bankruptcy
will allow you to pay the debt back over time. While you are in in Chapter 13
bankruptcy protection, your creditors cannot issue a bank levy. Your attorney will help you decide what
chapter would be best for you to file.
If your bank account is being levied, contact King and King
today to talk to a skilled bankruptcy attorney who can tell you exactly how the
bankruptcy laws can benefit you. Call us at 404-524-6400 or visit us online at
www.kingandkingattorneys.com
