Can a collection agency charge me a fee every time they garnishh my paycheck?

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Can a collection agency charge me a fee every time they garnishh my paycheck?

They are adding a fee of $50 a check; $100 monthly extra. I owed around $1300 and still owe over $900. I have been garnished for almost $600.

Asked on April 11, 2012 under Bankruptcy Law, Oregon

Answers:

FreeAdvice Contributing Attorney / FreeAdvice Contributing Attorney

Answered 9 years ago | Contributor

Whether or not the third party collection company that is garnishing your wages can charge you a fee every time your wages are garnished depends upon what the judgment states, what the fee is for (possibly levy fee of the sheriff) or if the fee is some allowable cost under any agreement that you may have had with the judgment creditor.

From what you have written, the fees being assessed may be for the levy each time your pay check is garnished for the sheriff. If so, that would be an allowable cost per state code. I suggest that you contact the collection company and ask what the extra fees are for.


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