Effect of garnishee or attachment order
62 Effect of garnishee or attachment order
If:
a person has an account with a financial institution; and
either or both of the following subparagraphs apply:
instalments of a social security payment payable to the person (whether on the person’s own behalf or not) are being paid to the credit of the account;
an advance payment of a social security payment payable to the person (whether on the person’s own behalf or not) has been paid to the credit of the account; and
a court order in the nature of a garnishee order comes into force in respect of the account;
the court order does not apply to the saved amount (if any) in the account.
The saved amount is worked out as follows:
Method statement
Step 1. Work out the total amount payable to the person in respect of the social security payment that has been paid to the credit of the account during the 4 week period immediately before the court order came into force.
Step 2. Subtract from that amount the total amount withdrawn from the account during the same 4 week period: the result is the saved amount.
This section applies to an account whether it is maintained by a person:
alone; or
jointly with another person; or
in common with another person.
This Act’s bill:Explanatory memorandumSecond reading speech
The statute text is free to read above. View subscription options to unlock the case-law research tools for each provision.