Broad Reach of a Garnishment

Question:

Can the bank accept loan payments on a customer on whom we have been served a garnishment, or does the garnishment only pertain to deposit account relationships?

Answer:

A garnishment's breadth is bounded by its own terms and the law of the state where it was issued. You need to review the particular garnishment with an attorney in your state. Generally a garnishment attaches to property you have on hand at the time it is received; it usually does not attach to customer property which comes into your possession in the future.

First published on BankersOnline.com 9/18/06