How to Collect on a Judgment in Houston: Bankruptcy and Garnishments
If you’ve secured a judgment in Texas but are finding it challenging to collect, you’re not alone. Many creditors face the same dilemma—getting a judgment is only the first step; actually collecting the money you’re owed can often feel like an uphill battle. That’s where a skilled Houston bankruptcy lawyer can help. As someone who has spent over 25 years as a debtor’s attorney and filed over 4,000 Chapter 7 and 13 cases in the Southern District of Texas, I have extensive experience in both bankruptcy law and debt collection. I know how to navigate the complex landscape of creditor-side actions, including garnishing bank accounts and other methods for enforcing judgments.
Why Bankruptcy Services are Essential for Collecting on Judgments
While many may associate bankruptcy with a debtor’s financial troubles, it can also be a critical tool for creditors seeking to collect on judgments. After obtaining a judgment, many creditors find themselves frustrated when a debtor refuses or is unable to pay. Bankruptcy law offers a way to collect debts even if the debtor files for bankruptcy, but it’s important to act swiftly and strategically.
Filing Writs of Garnishment
One of the most powerful tools at a creditor’s disposal is a writ of garnishment. This legal action allows a creditor to seize a debtor’s funds directly from their bank account, wages, or other sources of income. In Texas, creditors can use this method to collect on judgments that remain unpaid, even after the court has ruled in your favor.
To begin the garnishment process, a creditor must first obtain a judgment. Afterward, the creditor can request a writ of garnishment from the court. Once approved, the writ is served on the debtor’s bank or employer, instructing them to turn over funds directly to the creditor until the debt is satisfied.
What Happens if the Debtor Files for Bankruptcy?
You may be wondering, “What happens if the debtor files for bankruptcy after I get a judgment?” In many cases, the debtor’s bankruptcy filing will trigger an automatic stay, which temporarily halts any collections efforts, including garnishments. However, this doesn’t mean that your efforts are in vain. As a creditor, you may still be able to recover some of your money through bankruptcy proceedings, particularly if the debt is non-dischargeable.
If you’re in this situation, it’s crucial to work with an experienced bankruptcy attorney who knows how to navigate these complex proceedings to maximize your chances of recovery. I have over two decades of experience handling creditor-side bankruptcy cases and can help you determine the best course of action to recover your funds.
How the Justice Court Works in Texas
When you’re pursuing a writ of garnishment or other collection methods, it’s essential to understand how the Justice Court system works in Texas. The Justice Court is typically where small claims are handled, including actions to recover money owed under a judgment. While the process is generally faster and less formal than other courts, it’s still critical to follow all necessary legal steps and ensure that your garnishment request is properly filed and executed.
It’s also worth noting that Texas has exemption laws that protect certain types of property from being garnished. For example, the debtor’s homestead and certain personal property are generally exempt from garnishment under Texas law. However, bank accounts and wages are often fair game for garnishment, making this an effective method for collecting on a judgment.
The Importance of a Qualified Bankruptcy Attorney
If you’ve already obtained a judgment but are struggling to collect, it’s time to consult with a lawyer who specializes in creditor-side collections. Bankruptcy law can be a powerful tool for creditors, but it requires experience and knowledge to navigate successfully. With my extensive background in both bankruptcy and collections, I can help you use the legal tools at your disposal, including garnishments, to recover the money you’re owed.
Whether you’re dealing with a debtor who’s filed for bankruptcy or trying to collect directly from their bank accounts, I can guide you through the process with confidence and efficiency.
Contact Me Today for a Consultation
If you have a judgment but are struggling with collections, don’t wait any longer. Call me today at (713) 974-1151 to schedule a consultation and learn more about how I can help you collect what you’re owed. My experience in bankruptcy and collections law will provide the expertise you need to enforce your judgment successfully.
