Paying the Debt

• Though it may sound obvious, the only way to stop a lien from being placed on a checking account is to pay back the outstanding debt. The reason creditors place liens on banking accounts, property or taxes is because they have no other way of getting the overdue borrower's attention or of recouping their money. When a lien is placed on the borrower's assets or accounts, the borrower is essentially forced to pay attention to the creditor and to do what he can to make things current. Therefore, to avoid having a lien placed on your checking account, you should keep an open line of communication with your creditors. You should make every attempt to pay your monthly payments on time, and if you can't you should inform them of your circumstances right away. Should a mishap occur and you fail to pay your debts on time, then you should respond immediately to any notices of late or outstanding payments.
  
  

Closing Accounts

• It is incorrect to think that your debt obligations will go away or that your creditors will not be able to collect if you close your bank accounts before or after they receive a lien. Though you can avoid having your checking account funds removed by refraining from placing money in the account, the creditors can still go after you. Most of the time they will garnish your wages involuntarily until the debt is settled. Note that even though you can remove the direct deposit feature from your checking account to prevent your paycheck from being placed into a seized account, you cannot prevent creditors from garnering your wages.
  
  

Opening Accounts

• Even if you close your current checking account to avoid a lien, it does not mean that any new account will not have a lien placed on it. Most creditors deal with a number of financial institutions and have a sophisticated system of resources that will allow them to locate a new checking account at a new bank. Therefore, instead of trying to circumvent creditors, the best thing to do is to work with them to come up with a payment plan that works for both you and them. Remember too that they'll be more willing to work with someone who contacts them as soon as he realizes he will be unable to pay back his debts or as soon as he notices a lien on his checking account.