The Minnesota Department of Revenue may issue a levy on your stocks, bonds, and other non-exempt publicly traded securities to collect your debt. We notify you if we issue a levy on your securities.
How does it work?
On the day the investment company receives our levy, they must freeze (hold) your accounts. After 10 days, the investment company liquidates your securities up to the amount of the levy.
If your securities:
Are worth more than what you owe, you have seven days to instruct the investment company what to liquidate to pay your debt in full. If you do not tell them, they are legally required to start with the most recently purchased.
Are worth less than what you owe, the investment company must liquidate all of them. They will send us the balance after taking their normal commissions and fees.
Some investments may be exempt (protected) from this levy. The investment company must determine which ones. (See Minnesota Statutes, section 550.37.)
If we reduce the amount of the levy due to a payment or adjustment, we notify the investment company.
We will release a levy on securities if you prove the securities are exempt or if you file bankruptcy.