Indiana Code 31-25-4-31. Data match system with financial institutions to block account with child support lien
(b) Each financial institution doing business in Indiana shall provide information to the bureau on all noncustodial parents who:
Terms Used In Indiana Code 31-25-4-31
- account: has the meaning set forth in 42 U. See Indiana Code 31-25-4-3
- Appeal: A request made after a trial, asking another court (usually the court of appeals) to decide whether the trial was conducted properly. To make such a request is "to appeal" or "to take an appeal." One who appeals is called the appellant.
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- bureau: refers to the child support bureau established by IC 31-25-3-1. See Indiana Code 31-25-4-1
- delinquent: means at least:
Indiana Code 31-25-4-2
- department: refers to the department of child services established by IC 31-25-1-1. See Indiana Code 31-25-2-1
- financial institution: has the meaning set forth in 42 U. See Indiana Code 31-25-4-3
- Judgment: means all final orders, decrees, and determinations in an action and all orders upon which executions may issue. See Indiana Code 1-1-4-5
- Lien: A claim against real or personal property in satisfaction of a debt.
- obligor: means a person whose support obligation is enforced by the Title IV-D agency. See Indiana Code 31-25-4-4
(2) are delinquent.
(c) In order to provide the information required under subsection (b), a financial institution shall either:
(1) identify noncustodial parents by comparing records maintained by the financial institution with records provided by the bureau by:
(A) name; and
(B) either Social Security number or tax identification number; or
(2) submit to the bureau a report, in a form satisfactory to the bureau, that includes the Social Security number or tax identification number of each individual maintaining an account at the financial institution. The reports submitted under this subdivision must be accessible to:
(A) the department of state revenue established by IC 6-8.1-2-1 or its agents for use only in tax judgment and levy administration described in IC 6-8.1-8-8.7(b)(2); or
(B) the department of workforce development established by IC 22-4.1-2-1 or its agents for use only in the collection of unpaid final assessments described in IC 22-4-29-14(b)(2).
(d) The information required under subsection (b) must:
(1) be provided on a quarterly basis; and
(2) include the:
(A) name;
(B) address of record; and
(C) either the Social Security number or tax identification number;
of an individual identified under subsection (b).
(e) When the bureau has determined that the information required under subsection (d)(2) is identical for an individual who holds an account with a financial institution and an individual whose name appears on the quarterly list prepared by the bureau under section 30 of this chapter, the bureau shall provide a notice of the match if action is to be initiated to block or encumber the account by establishing a lien for child support payment to the:
(1) individual; and
(2) financial institution holding the account.
(f) The notice under section (e) must inform the individual that:
(1) the individual’s account in a financial institution is subject to a child support lien; and
(2) the individual may file an appeal with the bureau within twenty (20) days after the date the notice was issued.
(g) The bureau shall hold a hearing under 465 IAC 3-3. The department’s final action following a hearing held under this subsection is subject to judicial review as provided in 465 IAC 3-3.
(h) The state’s lien on assets under this section is subordinate to any prior lien perfected by:
(1) a financial institution; or
(2) another legitimate lien holder.
(i) A lien issued under this section remains in effect until the earliest of:
(1) one hundred twenty (120) days after issuance;
(2) the date the asset on which the lien is issued is surrendered; or
(3) the date the lien is released by an action of the bureau.
(j) This section does not preclude a financial institution from exercising its right to:
(1) charge back or recoup a deposit to an account; or
(2) set off from an account held by the financial institution in which the noncustodial parent has an interest in any debts owed to the financial institution that existed before:
(A) the state’s lien; and
(B) notification to the financial institution of the child support delinquency.
(k) A financial institution ordered to block or encumber an account under this section is entitled to collect its normally scheduled account activity fees to maintain the account during the period the account is blocked or encumbered.
(l) All information provided by a financial institution under this section is confidential and is available only to the bureau or its agents for use only in child support enforcement activities.
(m) A financial institution providing information required under this section is not liable for:
(1) disclosing the required information to the bureau, the department of state revenue established by IC 6-8.1-2-1, or the department of workforce development established by IC 22-4.1-2-1;
(2) blocking or surrendering any of an individual’s assets in response to a lien imposed by:
(A) the bureau under this section; or
(B) a person or entity acting on behalf of the bureau; or
(3) any other action taken in good faith to comply with this section.
(n) The department shall pay a financial institution performing the data match required by this section a reasonable fee for providing the service that does not exceed the actual cost incurred by the financial institution.
(o) This section does not prevent the bureau or its agents from encumbering an obligor‘s account with a financial institution by any other remedy available for the enforcement of a child support order.
As added by P.L.145-2006, SEC.271. Amended by P.L.103-2007, SEC.47; P.L.138-2008, SEC.7; P.L.123-2014, SEC.10.