After a court judgment is entered, interest starts accruing on the amount owed from that same day, but nothing automatically moves money from the debtor to the creditor. The winning party has to take separate enforcement steps — locating assets, then garnishing wages, levying bank accounts, or placing liens on real property — and the losing party has a narrow set of deadlines to appeal, move to vacate, or protect exempt income before collection begins.
Interest Starts Running Immediately
On a federal money judgment, interest begins accruing the day the judgment is entered, not the day the creditor starts trying to collect. The rate equals the weekly average one-year constant maturity Treasury yield published by the Federal Reserve for the week before the judgment date.1Office of the Law Revision Counsel. 28 U.S.C. 1961 – Interest As of early 2026, that rate sits around 3.70%.2United States Courts. Post-Judgment Interest Rate Interest compounds annually and is calculated daily until the balance is paid in full. State courts set their own post-judgment rates by statute, so a state-court judgment may carry a higher or lower rate than its federal counterpart.
For the creditor, every enforcement document should reflect the updated balance, including accrued interest and court costs. For the debtor, waiting out a judgment makes it bigger, not smaller.
Finding the Debtor’s Assets
A creditor can’t garnish or levy anything without knowing where the money is. Federal Rule of Civil Procedure 69 says enforcement of a money judgment generally follows the procedures of the state where the court sits, and every state offers some form of post-judgment discovery to locate assets.3U.S. District Court for the Northern District of Illinois. Federal Rules of Civil Procedure Rule 69 – Execution
The strongest tool is a debtor’s examination, sometimes called a judgment debtor exam or supplemental proceeding. The court orders the debtor to appear and answer questions under oath about bank accounts, income, real property, vehicles, and recent transfers. A debtor who fails to appear faces contempt. Written interrogatories and document requests can demand bank statements, tax returns, and payroll records, and third parties who hold the debtor’s assets can be subpoenaed directly.
Public records fill in part of the picture without a court order. County land records show real property, the secretary of state’s office shows business registrations, and motor vehicle records identify titled assets. Bank account numbers, current employer details, and hidden holdings usually require formal discovery.
How a Creditor Enforces the Judgment
Each enforcement method targets a different type of asset, requires its own court order, and is typically carried out by a sheriff or U.S. Marshal rather than the creditor directly.
Wage Garnishment
Wage garnishment redirects part of the debtor’s paycheck before it reaches them. Federal law caps the garnishable amount at the lesser of two figures: 25% of the debtor’s disposable earnings for the week, or the amount by which weekly disposable earnings exceed 30 times the federal minimum wage. With the federal minimum wage at $7.25 per hour in 2026, that threshold is $217.50 per week.4Office of the Law Revision Counsel. 15 U.S.C. 1673 – Restriction on Garnishment A debtor bringing home $230 per week in disposable earnings can only be garnished $12.50 (the amount over $217.50), not the full 25%. Someone earning less than $217.50 weekly in disposable earnings can’t be garnished at all under federal law.
The creditor obtains a writ from the court clerk and serves it on the employer, who must begin withholding by the next pay cycle. Many states impose their own garnishment limits that are more protective than the federal floor, so the applicable cap may be lower than 25%.
Bank Levies
A bank levy freezes and seizes funds already in the debtor’s account. The creditor files a writ of execution, and a sheriff or U.S. Marshal serves it on the bank.5U.S. Marshals Service. Writ of Execution The bank typically freezes the account immediately. Under federal garnishment rules, the bank has 10 days to answer the writ and disclose available funds.6Office of the Law Revision Counsel. 28 U.S.C. 3205 – Garnishment State procedures may allow a longer response window.
A levy captures only what’s in the account at the moment of the freeze. If the debtor deposits more money next week, reaching those funds requires a new writ.
Recently deposited federal benefits receive automatic protection. When a bank receives a garnishment order, it must review the account for direct deposits of Social Security, SSI, or Veterans Affairs payments within the prior two months and keep that protected amount accessible to the account holder regardless of the order.7eCFR. 31 CFR Part 212 – Garnishment of Accounts Containing Federal Benefit Payments The debtor doesn’t have to file paperwork or claim an exemption for this to happen.
Judgment Liens on Real Property
If the debtor owns real estate, recording a judgment lien is often the most effective play even when the property isn’t worth seizing immediately. The creditor obtains an abstract of judgment from the court — a document summarizing the judgment amount, interest rate, and parties — and files it with the county recorder’s office in any county where the debtor owns property. That filing creates a lien that attaches to the real estate.8Legal Information Institute. Abstract of Judgment The debtor can’t sell or refinance without first clearing the lien.
Federal judgment liens last 20 years and can be renewed for one additional 20-year period if a notice of renewal is filed before the original period expires.9Office of the Law Revision Counsel. 28 U.S. Code 3201 – Judgment Liens State-court liens have their own duration rules, often ranging from 5 to 20 years.
Seizing and Selling Personal Property
When wages and accounts aren’t available, a creditor can direct the sheriff to seize tangible personal property such as vehicles, equipment, or inventory and sell it at public auction. Proceeds first cover the costs of seizure and sale, then apply to the judgment balance. In practice, this is a last resort. Sheriff’s fees, storage costs, and auctioneer expenses eat into recoveries, and used household items rarely sell for much. Vehicles and business equipment are the realistic targets.
What the Debtor Can Protect
Not everything the debtor owns is reachable. Social Security benefits are broadly protected from garnishment, levy, and seizure for private debts.10Office of the Law Revision Counsel. 42 U.S.C. 407 – Assignment of Benefits Veterans Affairs benefits carry a similar shield against creditor attachment, though they remain subject to IRS tax levies.11Office of the Law Revision Counsel. 38 U.S.C. 5301 – Nonassignability and Exempt Status of Benefits
Federal bankruptcy exemptions set a baseline for what else a debtor can keep. Current limits protect up to $31,575 in homestead equity, $5,025 in one motor vehicle, $800 per item in household goods (capped at $16,850 total), and $3,175 in tools of the trade. Retirement accounts receive substantial protection — the aggregate IRA exemption is nearly $1.71 million. A $1,675 wildcard exemption, plus up to $15,800 of unused homestead exemption, lets debtors cover assets that don’t fit the other categories.12Office of the Law Revision Counsel. 11 U.S. Code 522 – Exemptions Many states offer their own exemption schemes that can be more generous — some provide unlimited homestead protection, for example. Whether a debtor can choose between federal and state exemptions depends on the state.
Enforcing a Judgment in Another State
Debtors don’t always keep their assets where the judgment was entered. A federal judgment can be registered in any other federal district by filing a certified copy once it becomes final; the registered judgment then carries the same weight as if originally entered in the new district.13Office of the Law Revision Counsel. 28 U.S.C. 1963 – Registration of Judgments for Enforcement in Other Districts
For a state-court judgment, the process is called domestication. Nearly every state has adopted the Uniform Enforcement of Foreign Judgments Act, which standardizes the procedure: obtain a certified copy of the original judgment, file it with the court in the new state along with an affidavit identifying both parties, and serve the debtor with notice. Once domesticated, the judgment is enforceable as though it had been entered locally. Trying to levy assets in a state where the judgment hasn’t been registered won’t work.
How Long the Judgment Lasts
Judgments don’t last forever. Federal judgment liens remain effective for 20 years and can be renewed for one additional 20-year period if a notice of renewal is filed before expiration and the court approves it. A renewed federal lien relates back to the original filing date, preserving priority over other creditors.9Office of the Law Revision Counsel. 28 U.S. Code 3201 – Judgment Liens State-court judgment validity periods usually run 10 to 20 years, with some states requiring renewal at the 10-year mark.
Renewal is not automatic. The creditor has to file the paperwork and pay any filing fees before the deadline. Once a judgment expires, the legal right to enforce it is generally gone for good.
Vacating the Judgment
A debtor who wants to undo the judgment rather than just delay collection can file a motion to vacate under Federal Rule of Civil Procedure 60(b), which lists six grounds for relief from a final judgment:14Legal Information Institute. Federal Rules of Civil Procedure Rule 60 – Relief from a Judgment or Order
- Mistake or excusable neglect — an honest mistake or circumstances beyond the party’s control, not simple carelessness.
- Newly discovered evidence that reasonable effort couldn’t have found earlier and that would likely change the outcome.
- Fraud or misconduct by the opposing party, including misrepresentation or concealment of evidence.
- Void judgment, typically because the defendant was never properly served.
- Satisfied or released judgment, or a judgment based on an earlier ruling that has been reversed.
- Any other reason that justifies relief, a catch-all courts read narrowly.
Deadlines differ by ground. Motions based on mistake, newly discovered evidence, or fraud must be filed within one year of entry. Motions based on a void judgment or the catch-all require only filing within a “reasonable time,” with no hard one-year cutoff.14Legal Information Institute. Federal Rules of Civil Procedure Rule 60 – Relief from a Judgment or Order Lack of proper service can sometimes be raised years later; a claim of excusable neglect that sits for 13 months is dead.
Courts grant these motions sparingly. “I didn’t know about the lawsuit” rarely succeeds without supporting proof: a wrong address on the summons, hospital records covering the response deadline, documents showing the opposing side submitted something fabricated. The stronger the evidence of the procedural failure, the better the odds.
How an Appeal Is Different
An appeal and a motion to vacate solve different problems. An appeal asks a higher court to review whether the trial court made a legal error — misapplied an evidence rule, gave incorrect jury instructions, or reached a conclusion no reasonable judge could reach on the facts. In federal civil cases, the notice of appeal must be filed within 30 days of the judgment’s entry, extended to 60 days when the United States is a party.15Legal Information Institute. Federal Rules of Appellate Procedure Rule 4 – Appeal as of Right, When Taken Miss that window and the right to appeal is gone.
A motion to vacate goes back to the same court that entered the judgment and asks it to set the judgment aside because of a procedural defect. The deadlines are more flexible, but the argument is different: not that the judge got the law wrong, but that the process was fundamentally broken.
Filing an appeal does not automatically pause collection. To stop enforcement during the appeal, the debtor usually must post a supersedeas bond, typically covering the judgment plus estimated interest and costs. Without the bond, garnishments and levies can proceed while the appeal is pending.
Filing a Satisfaction of Judgment
Once the judgment is paid in full, including accrued interest and court costs, the creditor must file a satisfaction of judgment with the court or give the debtor the signed document to file. This is the formal record that the debt is resolved. Without it, the judgment keeps showing as outstanding, the lien stays on the debtor’s property, and the credit report may still list an unpaid judgment.
Filing timelines vary by state, from immediately upon payment to as long as 60 days. A creditor who ignores the obligation may face penalties or a court order compelling the filing. A debtor whose creditor has gone silent after payment should hold on to proof — cancelled checks, wire confirmations, receipts — and petition the court to mark the judgment satisfied. Courts handle this regularly and will act on clear evidence of payment.