Search
 

House Committee Chairman Queries Regulators on Social Security Garnishment

House Financial Services Committee Chairman Barney Frank (D-Mass.) has written the five federal financial institution regulators, including NCUA, on compliance with the Social Security Act's prohibition on the garnishment of federal benefits.

By Staff Writer | Updated on July 17, 2007

WASHINGTON — House Financial Services Committee Chairman Barney Frank (D-Mass.) has written the five federal financial institution regulators, including NCUA, on compliance with the Social Security Act’s prohibition on the garnishment of federal benefits.

“I am writing to inquire what actions your agency is taking to ensure that the financial institutions that you regulate comply with the Social Security Act’s explicit prohibition on the garnishment of federal benefits to Veterans, the elderly and the disabled. I am also concerned about the use of the practice of ‘set off’ when banks remove funds owed the financial institution from these accounts,” Frank wrote. “Finally, I have been made aware that some debt collectors have made use of the national banking system to circumvent state and federal law protecting consumers. While my primary concern is enforcement of the garnishment prohibition, I would like to know what guidance or other instruction your agency has provided to the institutions you regulate regarding these related practices.”

Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.

Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
  • Exclusive discounts on ALM and CU Times events.
  • Access to other award-winning ALM websites including Law.com and GlobeSt.com.

Already have an account?

NOT FOR REPRINT

© 2025 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Recommended Stories

Credit Union Times

Join Credit Union Times

Don’t miss crucial strategic and tactical information necessary to run your institution and better serve your members. Join Credit Union Times now!

  • Free unlimited access to Credit Union Times' trusted and independent team of experts for extensive industry news, conference coverage, people features, statistical analysis, and regulation and technology updates.
  • Exclusive discounts on ALM and Credit Union Times events.
  • Access to other award-winning ALM websites including TreasuryandRisk.com and Law.com.

Already have an account? Sign In Now
Join Credit Union Times

Copyright © 2025 ALM Global, LLC. All Rights Reserved.