The debtor works at a car mechanic shop. He owes $10,000 on a private loan used for business purposes. How can the private lender collect money from the mechanic’s wages?
A. Debtor must first declare Chapter 7 bankruptcy to collect wages.
B. A non-licensed lender cannot take wages from an individual debtor.
C. After a judge issues a writ of garnishment.
D. After a judge approves of a mechanic’s lien.
Answer:C
The debtor works at a car mechanic shop. He owes $10,000 on a private loan used for business purposes. How can the private lender collect money from the mechanic’s wages?
A. Debtor must first declare Chapter 7 bankruptcy to collect wages. B. A non-licensed lender cannot take wages from an individual debtor. C. After a judge issues a writ of garnishment. D. After a judge approves of a mechanic’s lien.