A bank levy is a legal action taken by creditors to seize money directly from an individual’s bank account. This can be done if an individual fails to pay a debt or a tax bill.
Creditors and lenders can also utilize a bank levy in order to collect on unpaid loans and debts.
If an individual owes money from a court judgment, such as a divorce decree or a civil suit, the court can order a bank levy to collect on the judgment.
When an individual is delinquent on their child support payments, the court can issue a bank levy to collect the money owed. In some cases, it may even be possible for the court to garnish wages as well.
A tax advisor can help individuals facing a bank levy by providing advice on how to handle their debt and minimize the levy’s impact. We can also guide how to dispute the levy and negotiate with creditors for alternative payment arrangements.