Banking Basics: Savings for Infants and Garnishment Rules

Opening a savings account for an infant grandchild can secure their financial future. Learn about the legal implications of garnished accounts and how to cash checks without a bank.

What Happens When a Checking Account Is Garnished?

Published Jun,13 2017 | By Julie Boehlke

If you have an unpaid debt to a credit card company, to the state or IRS, you could have your checking account garnished. Creditors commonly use two methods to obtain money from people in default on their loans and credit cards: Wage garnishment up to 25 percent and checking account garnishment.