How Debt Collectors Find Your Bank Account to Freeze It The threat of a debt collector freezing your bank account is not just a distant possibility, but a very real and present danger for many Americans struggling with high interest debt.
As credit card balances continue to rise – $21 billion in the second quarter alone – the risk of a delinquent borrower facing a bank account levy is higher than ever.
A bank account levy is essentially a freeze on the funds in a bank account, with the collected money distributed to cover unpaid debt.