Cwmc Module 15: Garnishment Competency Test

16 Questions | Total Attempts: 33

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Module Quizzes & Trivia

This quiz is part of LFE Institute's CWMC (Certified Workplace Money Coaching) course. It will test your proficiency in the Garnishment Module (Module 15) of the program. The questions are all multiple choice, and are designed to be a review of this Module. Let LFE know when you've successfully completed this test and are ready to take the Senior Level (Level 2) Test. Correct answers required for passing grade: 14/17


Questions and Answers
  • 1. 
    Which of the following Web resources would you NOT recommend regarding garnishment?
    • A. 

      Https://jobs.uloop.com

    • B. 

      Www.fair-debt-collection.com/garnishment-law.html

    • C. 

      Www.ombudsman.ed.gov

    • D. 

      Www.wikihow.com/Prioritize-Your-Debts

    • E. 

      Www.youcandealwithit.com/cant_pay_student_loan

  • 2. 
    Garnishments are a(n) __________ experience for employees. (check all that apply)
    • A. 

      Embarrassing

    • B. 

      Complicated

    • C. 

      Costly

    • D. 

      Time-consuming

    • E. 

      None of the above

  • 3. 
    Which of these steps can help avoid garnishments? (check all that apply)
    • A. 

      Take calls from your creditors

    • B. 

      Establish a "Creditor Communication Log"

    • C. 

      Immediately shred overdue payment notices to avoid financial information falling into the wrong hands

    • D. 

      Stop making any scheduled bill payments to show you already need all of the money in your paychecks

    • E. 

      Ask for help when needed

  • 4. 
    Which of the following should a Money Coach NOT discuss when answering employee questions regarding garnishments?
    • A. 

      How it affects the employee's paycheck

    • B. 

      The fact that employees aren't allowed to take vacations while their paychecks are garnished

    • C. 

      How to avoid garnishments altogether

    • D. 

      Consumer rights for employees

    • E. 

      Strategies for recovery

  • 5. 
    Choose the answer that best completes this sentence:"Multiple garnishments give employers the ability to _________ employment."
    • A. 

      Sustain

    • B. 

      Support

    • C. 

      Terminate

    • D. 

      Increase

    • E. 

      Profit from

  • 6. 
    Which of the following are warning signs that can lead to a garnish judgment? (check all that apply)
    • A. 

      Prioritizing bills

    • B. 

      Refusing verbal communication with creditors

    • C. 

      Signing up for 401(k) plan

    • D. 

      Ignoring letters from lenders

    • E. 

      Paying bills through a credit counseling service

  • 7. 
    Of the following reasons for wage garnishment, which one takes priority over the rest?
    • A. 

      Late on credit card payments

    • B. 

      Behind on state income taxes

    • C. 

      Late on mortgage payments

    • D. 

      Behind on county real estate taxes

    • E. 

      Delinquent on child support payments

  • 8. 
    Using all UPPERCASE letters in your response is the e-mail equivalent of:
    • A. 

      Sarcasm

    • B. 

      Laughing

    • C. 

      Yelling

    • D. 

      Precision

    • E. 

      Courtesy

  • 9. 
    Which of the following resources can help an employee navigate a garnishment situation? (check all that apply)
    • A. 

      A Money Coach

    • B. 

      An attorney

    • C. 

      The employee's children

    • D. 

      Local police

    • E. 

      The employee's Human Resources Department

  • 10. 
    Human Resource Departments do NOT like employee garnishments because: (check all that apply)
    • A. 

      They're time consuming for HR personnel and the employee

    • B. 

      They require a lot of paperwork

    • C. 

      Employees resent the company and the HR employee for reducing their paychecks

    • D. 

      The compliance issues must be specifically followed

  • 11. 
    Which of the following is a common garnishment misconception?
    • A. 

      Social Security income is exempt from credit card garnishment orders

    • B. 

      Garnishment activity stays on your credit history for 7 years

    • C. 

      Back child support cannot be garnished from unemployment checks

    • D. 

      The IRS can take a larger garnishment sum % of your wages

  • 12. 
    Before an employee's account can be garnished, creditors must have:
    • A. 

      The employee's approval

    • B. 

      A good reason to do it

    • C. 

      A judgment from the court

    • D. 

      A stay of execution

    • E. 

      Approval from the employer

  • 13. 
    How can a garnishment affect an employee? (check all that apply)
    • A. 

      He/she will have extra fees to pay

    • B. 

      May prevent him/her from getting a job in the future if the company does a credit check

    • C. 

      Reduces the amount the employee has to live on

    • D. 

      He/she may need to appear in court

    • E. 

      None of the above

  • 14. 
    Which Act of Congress limits the amount of employee earnings that may be garnished?
    • A. 

      Victims' Rights Act

    • B. 

      Consumer Credit Protection Act

    • C. 

      Data Protection Act

    • D. 

      Consumer Fraud and Deceptive Business Act

    • E. 

      Privacy Protection Act

  • 15. 
    An employee's paycheck will NOT be garnished if the employee:
    • A. 

      Makes under $15,750

    • B. 

      Agrees to make the payments on his/her own

    • C. 

      Works less than 25 hours a week

    • D. 

      Has two or more children living at home

    • E. 

      None of the above

  • 16. 
    Which of the following debts could be collected through garnishments? (check all that apply)
    • A. 

      Child support

    • B. 

      Payday loan debts

    • C. 

      A small claims court judgment

    • D. 

      Back taxes

    • E. 

      Student loan debts