Bank won't release garnishment.

[TKMinfo]

Jurisdiction

Missouri

A collection attorney garnished my bank account for an old judgement that I had forgotten about. I went directly to the court and paid the amount in full.

The collection attorney refused to release the garnishment and/or file a satisfaction of judgement until they received the money from the court. Casenet already shows a check issued to them...

I filed a request for satisfaction of judgement and the Judge has now signed off on it.

I faxed a copy of this to the bank (Bank of America). They are telling me that they have to get a release from the Collection Attorney. I have provided them a copy of the receipt showing the full amount paid and the satisfaction of judgement signed by the Judge.

What are my options now?

The bank doesn't have to honor a signed court document? The signed satisfaction of judgement?

How long can the Collection attorney drag his feet on this. He said he will release it "when he gets around to it"...

I need my accounts released in order to operate my business. Is there anything I can do?

 

[zddoodah]

If the bank won't release the garnishment, you'll have to file something with the court seeking an order compelling the bank to do so. I don't know any specifics of how this will work under Missouri law, and you should consult with a local attorney. You should have worked all this out before writing a check, and your failure to do so has resulted in these unnecessary complications and expense.

 

[army judge]

I need my accounts released in order to operate my business. Is there anything I can do?

Yes, immediately seek the assistance of an attorney.

Most self help remedies often complicate matters, rather than clearing them properly.

 

[TKMinfo]

The creditor would not take payment over the phone or give any other guarantee to release the garnishment, so I paid the court direct so I would have an official receipt. I also requested a satisfaction of judgement and the Judge has already signed it. I faxed it to the bank.

They bank says they have to get release from the collection attorney.

Why is the satisfaction of judgement, signed by the Judge, not enough for the bank to release it?

 

[TKMinfo]

Yes, immediately seek the assistance of an attorney.

Most self help remedies often complicate matters, rather than clearing them properly.

I paid it. I thought that was the fastest way. I can't afford an attorney now. I used all I had to pay the judgement.

Doesn't the bank have to honor the satifaction of judgement? It is a signed court document...

 

[army judge]

Doesn't the bank have to honor the satifaction of judgement? It is a signed court document...

The bank has to honor court orders.

That said, you've unfortunately created a "dueling court order" scenario of sorts.

The bank honored the original attachment.

A judgment lien is an an example of a judicial lien, which is what the other party used to attach your assets.

A general rule is that all liens have priority in the order of their filing.

This link explains the garnishment process in MO:

State Wage Garnishment Laws » Fair Debt Collection

You can wait and the attachment will be lifted, probably by the court you paid.

My GUESS is what you paid isn't enough to pay the attorney's fees.

I suspect that is why the attachment has yet to be recalled.

If you can't afford an attorney, you might discuss the matter with the lawyer.

Otherwise, I'd at least consult a couple of MO licensed attorneys for a more detailed analysis of what might achieve the result you desire.

Normally attorneys won't charge for the initial consultation.

 

[TKMinfo]

The bank has to honor court orders.

That said, you've unfortunately created a "dueling court order" scenario of sorts.

The bank honored the original attachment.

A judgment lien is an an example of a judicial lien, which is what the other party used to attach your assets.

A general rule is that all liens have priority in the order of their filing.

This link explains the garnishment process in MO:

State Wage Garnishment Laws » Fair Debt Collection

You can wait and the attachment will be lifted, probably by the court you paid.

My GUESS is what you paid isn't enough to pay the attorney's fees.

I suspect that is why the attachment has yet to be recalled.

If you can't afford an attorney, you might discuss the matter with the lawyer.

Otherwise, I'd at least consult a couple of MO licensed attorneys for a more detailed analysis of what might achieve the result you desire.

Normally attorneys won't charge for the initial consultation.

Thank you. I've tried talking to this attorney. He is just rude. Said he has never heard of anyone paying the court.

I told him I just wanted it paid and resolved. I have been working on my credit for over a year and trying very hard to get on top of it all. I missed this one because it was so old, but I've tried to do the right thing and paid it immediately.

Thank you again.

 

[army judge]

Thank you. I've tried talking to this attorney. He is just rude. Said he has never heard of anyone paying the court.

I told him I just wanted it paid and resolved. I have been working on my credit for over a year and trying very hard to get on top of it all. I missed this one because it was so old, but I've tried to do the right thing and paid it immediately.

Thank you again.

Mate, I understand, but you don't need to explain how this mess happened.

Going forward you just need to get it corrected.

I completely understand how stuff happens, and how hard it is get it corrected.

I'm sure over the next few days you'll get this sorted, just be persistent, and it'll all be resolved soon.

As far as rude people, I've met my share.
The bets way to deal with them, especially if they stand in the way of something you want is flatter them, never provoke them.
Lead them to your solution, sprinkle compliments as they follow where your words lead.
You'll never make one a friend, but that isn't your goal.
Your goal is to solve the dilemma that confronts you.
Try again, keep trying, forget the chatter.
Remain calm, be contrite, get what you want, move one.

 

[TKMinfo]

Thanks for the answers.

I know it can be a long process. I would really like to know if this is all correct. Is there a time frame that a creditor has for releasing a garnishment? And why is the signed satisfaction of judgement not enough for the bank to release it?

 

[zddoodah]

Why is the satisfaction of judgement, signed by the Judge, not enough for the bank to release it?

You'd have to ask someone at the bank.

Doesn't the bank have to honor the satifaction of judgement? It is a signed court document.

I haven't looked, but I doubt there is a law in Missouri that says anything like the following: "A bank on whom a garnishment has been served must release the garnishment upon presentation of a file-stamped acknowledgment of satisfaction of judgment."

I assume the bank is insisting on something from the garnishing party's attorney as a matter of its own policy. I'm reasonably confident that, if you obtain a court order that expressly directs the bank to release the garnishment, it will comply with that order.

I've tried talking to this attorney. He is just rude. Said he has never heard of anyone paying the court.

I've been doing collection work in various capacities for nearly 30 years, and I've never heard of it either. Apparently it's an option in Missouri, but I suspect you'd have had better success had you worked this out directly with the creditor or the creditor's attorney beforehand.

Is there a time frame that a creditor has for releasing a garnishment?

I doubt the law imposes any specific time frame. I would imagine that the court would hold the judgment creditor to a "reasonable time" standard.

 

[TKMinfo]

You'd have to ask someone at the bank.



I haven't looked, but I doubt there is a law in Missouri that says anything like the following: "A bank on whom a garnishment has been served must release the garnishment upon presentation of a file-stamped acknowledgment of satisfaction of judgment."

I assume the bank is insisting on something from the garnishing party's attorney as a matter of its own policy. I'm reasonably confident that, if you obtain a court order that expressly directs the bank to release the garnishment, it will comply with that order.



I've been doing collection work in various capacities for nearly 30 years, and I've never heard of it either. Apparently it's an option in Missouri, but I suspect you'd have had better success had you worked this out directly with the creditor or the creditor's attorney beforehand.



I doubt the law imposes any specific time frame. I would imagine that the court would hold the judgment creditor to a "reasonable time" standard.

Thank you.

I tried working with the judgement creditor. They wouldn't take payment over the phone or give me any agreement to release the garnishment. I saw a number of bad reviews on this collection firm not posting payments and dragging their feet, and didn't trust them. So I went to the court. The garnishee was directed to pay the court so they said I could. To me that gave me an official, dated receipt. I wanted it on record ASAP that it was paid.

I finally got confirmation late this afternoon, from my bank that they did receive the release today, so persistence paid off. They originally said it would take 30 - 60 days AFTER the return date. I didn't want to wait that long.

I just got it done in 10 days.

Thank you to all that responded here. I appreciate it.