Friday, June 17, 2011

Who Wants to Know a Secret?

If you are an OWCP claimant, receiving compensation, and you find yourself being harassed by creditiors, here's a little known fact...OWCP compensation is exempt from the claims of creditors. However, payments garnished for alimony and child support do not fall under this catagory.

So if you're being harassed by creditors and you're receiving OWCP compensation, you can site 33 U.S.C. subsection 916 which states:

33 U.S.C. § 916 : US Code - Section 916: Assignment and exemption from claims of creditors:
"No assignment, release, or commutation of compensation or
benefits due or payable under this chapter, except as provided by
this chapter, shall be valid, and such compensation and benefits
shall be exempt from all claims of creditors and from levy,
execution, and attachment or other remedy for recovery or
collection of a debt, which exemption may not be waived."

So if you find yourself in this situation and are tired of being harassed, write a letter to your creditor(s) trying to collect the debt and cite the U.S.C. above.