Collecting a money judgment is rarely easy regardless of the state you’re talking about. But collection is harder in some states than others. Take Texas. We work on money judgments in the Lone Star state. We can tell you that it can be a real challenge.
The biggest disadvantage to creditors in Texas is the lack of enforcement options available to them. The fewer the options, the harder it is to get money from an uncooperative debtor. And once judgment debtors understand creditor limits, they are more willing to avoid paying for as long as they can.
All these things partially explain why Judgment Collectors takes money judgment cases in Texas. We understand how difficult it is for creditors who don’t know how the system works. We come alongside them with the primary goal of making sure they get paid.
Texas Writs of Garnishment
Writs of garnishment are fairly common across the country. They are available in Texas, but with one twist: only bank accounts can be garnished to pay most kinds of debts. Wages are off limits. Think about what that means in a practical sense.
In most other states, garnishing a debtor’s wages means taking a certain portion from their paycheck, every pay cycle, until the debt is paid off. Wage garnishment is one of the slowest ways to collect a money judgment. But it’s pretty dependable. As long as the debtor remains employed, the creditor receives regular payments.
Without that option in Texas, judgment creditors can only garnish bank accounts. Furthermore, each garnishment is a separate event. Each event requires a new order from the court. Once a debtor understands this, he simply stops putting money into his bank account.
Texas Writs of Execution
Writs of execution are another common tool for collecting money judgments. In Texas, like nearly every other state, the rules prohibit seeking a writ of execution against exempt property.
A writ of execution allows the creditor to seize property and sell it for payment of the debt. But in Texas, the list of exempt forms of personal property is rather extensive. The following types of property are exempt from writs of execution:
- A debtor’s primary residence
- The primary vehicles of each adult in the household
- Any tools, vehicles, equipment, etc. necessary to conduct trade
- Other forms of personal property up to a certain value
The last form of property is what makes writs of execution so difficult in Texas. For example, jewelry tends to be a valuable asset that creditors can go after during judgment collection. But in Texas, most personal assets are protected at a value of up to $60k for a debtor who is married or otherwise part of a family and $30k for a debtor who is single and not part of a family.
These four provisions take a lot of property off the table in Texas. But all is not completely lost. Property liens are available to Texas judgment creditors. There are a few other options as well.
We Are Here to Help
It is clear that Texas doesn’t make things easy on judgment creditors. But collecting a money judgment in Texas is not impossible. You just need to know how to go about it. That’s where we come in.
Collecting money judgments is our specialty. We work cases in Texas and nearly a dozen other states. We invite you to reach out to the Judgment Collectors team whether you have just recently won a judgment or have been struggling for years to collect one. We are here to help.