When you owe debt to AAFES or Military Star, those creditors can initiate an involuntary allotment or garnishment against your pay check in order to get their debt repaid. Once you file a Chapter 7 bankruptcy case or a Chapter 13 bankruptcy case, those involuntary allotments must stop. When your Chapter 7 bankruptcy case or Chapter 13 bankruptcy case is filed, we write AAFES and send a copy of that letter to DFAS and inform them both that these involuntary allotments must stop. And they do stop.
A Chapter 7 bankruptcy or a Chapter 13 bankruptcy also stops government creditors from intercepting or garnishing your income tax refunds. Many military families depend on those refunds and those garnishments cease when your case is filed.