Legal Question in Credit and Debt Law in Michigan
collection question
My husband and I rented a house from my aunt for a little over 2 years and we got behind on the rent and we now owe her about $14,000. We have moved out of the house and are living with relatives. We have set up to pay her $300 every two weeks. She has threatened to take us to court if we move out of the relative's house to get a place of our own. If she did take us to court, what is the maximum amount by law that she could take from us monthly? We intend on paying her but need to get a new place of our own. If we went to court would we have to pay all the money at once or could she just get a garnishment and if so how much could she take per month? Our monthly income is about $3200 combined.
2 Answers from Attorneys
Re: collection question
If your aunt sued and got a judgment against you, she could potentially garnish 25% of your net income for 90 days at a time.
Re: collection question
Your aunt might be able to garnish your wages upon getting a valid judgment against you, but you could petition the court for an installment payment plain in order to stop the wage garnishment. Tyically, judges set monthly payments from as little as $50 per month on upwards. The amount of a monthly payments depends on the judge and the arguments made in court. -GJR