FAQ for Texas judgment negotiation and settlment

Texas Judgment Negotiation FAQ

Q: I heard that a creditor cannot garnish a bank account in Texas. Is this true?
A: This is not true. A judgment creditor can garnish a bank account in Texas. We get many calls from people who are in a panic because they are unable to pay their bills because their bank accounts have been frozen in a garnishment action. Bank account garnishment is very common in Texas and can be absolutely devastating.

Q: Where does your firm handle judgment negotiation?
A: We cover the entire state of Texas. We have six offices and we are licensed to practice law in every portion of the state.

Q: Can I negotiate the judgment myself?
A: You can certainly try, though our experience has been that those who hire a professional negotiator generally get a much better deal. We also take care of the settlement paperwork for you. Besides, you probably have better things to do.

Q: I just learned that my bank account is frozen. Can you still help me?
A: Maybe, but you will have to call us immediately so that we can contact the attorney for the judgment creditor in an effort to have the garnishment dissolved before the money gets turned over. These can be difficult scenarios to work through, though we have had success in the past.

Q: Do I have to come to your office to have a free consultation or to hire your firm?
A: No. We can conduct the consultation over the telephone. It will only take a few minutes. If you wish to hire us we will prepare and email you a written fee agreement so that you have everything in writing.

Q: What can a creditor with a judgment do to try to collect in Texas?
A: A number of things. The creditor can serve unlimited post-judgment written discovery on the debtor, which is very intrusive paperwork requiring the debtor to disclose assets and financial transactions. A creditor can also require the debtor to produce bank account statements and other financial records. A judgment creditor may also seek to seize non-exempt property and, as noted elsewhere on this site, may garnish bank accounts. In some cases, the creditor may ask the court to appoint a receiver to oversee the collection of the debt. A receiver has court-ordered powers that are extremely broad. In fact, a receiver can have a bank account garnished without the need to file a separate garnishment lawsuit. The receiver can simply send a copy of the receivership order to the bank with a request that any funds be frozen and turned over to the receiver to satisfy the judgment.