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how is allowed to granish ssi

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as234

Junior Member
What is the name of your state? n dakota
What agencies are allowed to collect a debt through ssi, ssdi? I read that child support can be taken out, is that the case in every state? What about from a civil suit, by a collection agency? It was my understanding that collection agencies are not allowed to collect from social security. Is it different if you are retired as opposed to disabled?
If you are disable for many many years collecting ssi, ssdi, maybe recieving around 100,000 dollars, and one day you win milloins in the lottery, will you have to pay any money you recieved while you were disabled back?
 


BL

Senior Member
Can Social Security benefits be garnished to pay a debt? Answer
Section 207 of the Social Security Act (42 U.S.C. 407) protects Social Security benefits from assignment, levy, or garnishment. However, the law provides five exceptions:
Section 459 of the Act (42 U.S.C. 659) allows Social Security benefits to be garnished to enforce child support and/or alimony obligations;
Section 6334 (c) of the Internal Revenue Code (26 U.S.C. 6334 (c)) allows benefits to be garnished to collect unpaid Federal taxes;
Section 3402 (P) of the Internal Revenue Code allows beneficiaries to elect to have a percentage of their benefits withheld and paid to the Internal Revenue Service to satisfy their Federal income tax liability for the current year;
The Debt Collection Act of 1996 (Public Law 104-134) allows benefits to be withheld and paid to another Federal agency to pay a non-tax debt the beneficiary owes to that agency: and
The Tax Payer Relief Act of 1997 (Public Law 105-34) authorizes the Internal Revenue Service to collect overdue federal tax debts of beneficiaries by levying up to 15 percent of each monthly payment until the debt is paid.
The Social Security Administration's responsibility for protecting benefits against legal process and assignment usually ends when the beneficiary is paid. However, once paid, benefits continue to be protected under section 207 of the Act only as long as they are identifiable as Social Security benefits. This applies to money in a bank account where the only payments into the account are from direct deposit of Social Security benefits.
NOTE: Supplemental Security Income payments cannot be levied or garnished.

A creditor may have your bank Acct. froze , then you'd have to go through the hassle of getting an order to lift the freeze , if the income is exempt .

I don't know the answer to the lottery winnings .
 

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