Dear Credit Smart,
My Social Security check is my only income. My credit card debt is harder and harder for me to make. Can the credit card company garnishee my Social Security check if I stop paying? – Barb

Dear Barb,
No, your Social Security check cannot be garnished for credit card debt. Credit card debt is unsecured debt; your Social Security income can be garnished for certain other debts, such as delinquent taxes and federal student loan debt, but not for unsecured debt.

Other types of income that are protected from garnishment include Supplemental Security Income benefits, veterans benefits, federal employee and civil service retirement benefits, and benefits administered by the Railroad Retirement Board.

Your protection from improper garnishment was strengthened by a change of U.S. Treasury Department rules enacted in 2011 designed to halt a once-common practice by debt collectors – using garnishment orders to freeze the bank accounts of debtors. Previously, banks presented with a garnishment order would freeze the entire account and then let the courts sort out how much of it was protected and how much could be seized by the collector. The 2011 rule require banks to shield two months’ worth of protected deposits from garnishment. You must have your Social Security deposited electronically to qualify for this protection. The Consumer Financial Protection Bureau can provide further explanation of this protection.

I am not suggesting, however, that you simply stop making payments on your debt at this time. You do still owe your credit card company and even though it cannot garnish this income, it still may try to collect payments from you. This is especially true since you have been paying them regularly.

I would advise you to call your creditor. Explain your situation honestly and see if the card issuer can offer you some type of hardship program that will reduce your monthly obligation. Be sure to communicate that your circumstances are not likely to change because you are on a fixed income, so you may need long-term help, depending on the amount of your debt. Point out that you have been a loyal customer and that you want to pay your debt if at all possible.

You should be aware that the creditor is likely to shut off your access to credit, which may be in your best interest anyway. The account will still be active, but you won’t be able to charge any more. Adding to your debt will not help the situation, even though it can be very tempting. Look at your monthly obligations and be sure that you can cover your basic needs with the money you have coming in without having to rely on your credit card.