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Court-Ordered Bank withdrawal made/ Social Security only income

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Lydarose

Junior Member
What is the name of your state? Illinois

A 72-year-old, disabled, friend of mine was court ordered to pay the legal expenses resulting from an unfavorable decision in a civil case (long story, can’t get into it).

Her only source of income is SSD and SSI and is direct deposited monthly into her bank account. There are usually no other deposits made. Imagine her surprise when she tried to withdraw some of her funds to pay a bill and there was no money left! The bank personnel told her that a court-ordered withdrawal was made and that they charged a fee of $100 on top of that.

I was under the impression that Social Security money is exempt from collections except for things like overpayment, school loans, and taxes. I also thought that the funds would be frozen first to determine if indeed it could be garnished.

Does she have recourse? Is the bank responsible to notify her before such a withdrawal is made?

Any input is appreciated.
 


TigerD

Senior Member
What is the name of your state? Illinois

A 72-year-old, disabled, friend of mine was court ordered to pay the legal expenses resulting from an unfavorable decision in a civil case (long story, can’t get into it).

Her only source of income is SSD and SSI and is direct deposited monthly into her bank account. There are usually no other deposits made. Imagine her surprise when she tried to withdraw some of her funds to pay a bill and there was no money left! The bank personnel told her that a court-ordered withdrawal was made and that they charged a fee of $100 on top of that.

I was under the impression that Social Security money is exempt from collections except for things like overpayment, school loans, and taxes. I also thought that the funds would be frozen first to determine if indeed it could be garnished.

Does she have recourse? Is the bank responsible to notify her before such a withdrawal is made?

Any input is appreciated.
If the only funds in the account from social security, then they should i(n almost all cases) be exempt.

She will need to file her exemptions with the court.
 

Lydarose

Junior Member
I talked with my friend today and there is a court date on March 9. Unless someone else has any advise, I'll report the results after then. Thanks!
 

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