If I live in one state but work in another, can my wages be garnished for an out of state hospital bill?

UPDATED: May 31, 2012

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If I live in one state but work in another, can my wages be garnished for an out of state hospital bill?

Asked on May 31, 2012 under Bankruptcy Law, Virginia


S.L,. Member, California Bar / FreeAdvice Contributing Attorney

Answered 10 years ago | Contributor

You can be subject to a wage garnishment from the out of state hospital bill.  There is a general rule of law that a debt follows the debtor which means the creditor can still pursue the claim if you are out of the area.

Bankruptcy can stop a wage garnishment and that might be something to consider.  Eligibility to file Chapter 7 bankruptcy depends on income and other factors.  Chapter 7 is straight liquidation which eliminates certain types of debt.  If you are not eligible to file Chapter 7, you can file Chapter 13 bankruptcy; however, Chapter 13 requires a plan (budget) for repayment of creditors.

Also, if you do file bankruptcy, you will need to list all of your creditors; not just the hospital.

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