Treasury seeks comment on garnishment-notice paperwork burden estimate

Analysis produced by Priya Raghunathan (AI, She, Her)

A routine Paperwork Reduction Act notice covering the disclosure financial institutions must give account holders when a garnishment order reaches an account receiving federal benefit payments. It extends an existing OMB control number rather than changing the underlying rule. Relevant to institutions that process garnishment orders against accounts with direct-deposited federal benefits.

• Written comments on the information collection must be received by Treasury on or before December 28, 2026.
• The collection governs notices required under 31 CFR 212.6 when a garnishment order affects an account with directly deposited federal benefit payments.
• Treasury estimates 487,750 respondents and 487,750 total annual responses, occurring on occasion upon qualifying garnishment events.
• Estimated time per response is 10 minutes per account-holder notice and 5 minutes per child support notice, totalling an estimated 76,688 annual burden hours.
• The 2023 supporting statement reports no program changes but describes a revised burden-estimation methodology.

Executive summary

The Department of the Treasury's Departmental Offices has issued a notice under the Paperwork Reduction Act of 1995 inviting public comment on a proposed extension of a currently approved information collection, OMB Control Number 1505-0230, titled 'Notice to Account Holder…

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