Almost every second German over 18 has taken out a loan once. A loan agreement was signed for this. Assignments of wages and salaries are an integral part of the loan agreement. What is hidden behind these terms, in our article.
Banks need collateral
Banks have a lot of money, but they don't lend it to everyone who makes a loan request. Banks need collateral much more. Assignments of wages and salaries are included and are accepted when a loan agreement is signed. This enables the lender to contact the borrower's employer directly if the loan installments cannot be paid. Employers then transfer the required amount directly to the creditors. But there are untouchable sums.
Subsistence level and other untouchable amounts
The basic allowance for attachments is currently $ 1,133.80. This means that the amounts up to this sum always remain free of deposit. Furthermore, the following cash benefits are not attachable: Overtime payments, vacation payments and payments to persons subject to maintenance (above all alimony).
The more you earn, the bigger the deposit will be deducted. Anything over $ 3,500 per month is considered fully attachable.
Afraid of attachment?
An attachment is always unpleasant. Especially because the employer is always involved as the third party. You don't get killed, so it's best to inform the employer yourself before the creditor does. You shouldn't be afraid either, because you are not the first, and certainly not the last, to be involved in a mortgage process. Furthermore, a garnishment must never be seen as a reason for termination, so that you do not have to fear directly for your job. There are always exceptions (more about this here), but mostly they are isolated cases.
You should think carefully before signing a transfer of wages. If you have already done so and you expect to be seized soon, you should ask the employer to talk to you before the creditors surprise you.
There are now enough debt counselors who can be helpful with various questions and uncertainties.
Conclusion: Garnishments are unpleasant and it is best to avoid them - but if you are inside, you simply have to go through it. Preparatory measures are essential in the situation: inform employees in good time, calculate the possible deposit amount from the table and, if necessary, consult a debt adviser. And remember: everything will pass!