cancel
Showing results for 
Search instead for 
Did you mean: 

Bank Levies and Joint Accounts

Frequent Contributor

Bank Levies and Joint Accounts

Let's say you have a joint bank account with your name and a couple other names on the account.

If the IRS were to file a bank levy against this bank account, would only the specific person who's name is targeted by the IRS have their credit report affected?  Or would every name on the joint account have their credit report affected?

 

I have the same questions regarding Chexsystem reports.

1 REPLY
Moderator Emeritus

Re: Bank Levies and Joint Accounts

It should only impact the report of the tax debtor. But if that bank account is closed out, then it will impact every Chex account, assuming it even reports. I don't know about the levy reporting on Chex, though.

I once worked for a company that had a levy by the IRS for about $20k. There weren't enough funds in there to cover the levy and each individual signer's account was raided for the balance. I was a signer and the only signer who had a personal account at the bank. The bank zapped out all of my money too. Now the employer was able to repay me pretty quickly, but there never was anything on my report or on Chex.