A legal seizure of money from a bank account to pay a debt.

"Legal seizure" means a government agency or court-backed creditor can order a bank to freeze and turn over funds without asking for permission first. "Money from a bank account" can mean checking, savings, and sometimes other deposit accounts held in the debtor's name. "To pay a debt" usually comes up with unpaid taxes, child support, or a judgment. In tax cases, the IRS can levy an account after sending required notices, including a Final Notice of Intent to Levy and notice of your Collection Due Process rights. A bank levy is different from a lien: a lien claims property, while a levy actually takes money.

What matters in real life is speed. Once a bank gets the levy, the account is often frozen first. For an IRS bank levy, the bank generally holds the funds for 21 days before sending them over, which gives a short window to act. That is when people usually need to call the agency, prove hardship, set up an installment agreement, or ask for innocent spouse relief, currently not collectible status, or another release option if it fits.

For an injury claim, a levy can hit settlement money after it lands in the bank. That can wreck plans to pay medical bills, rent, or missed wages. In Utah, state tax collection may also involve bank seizures through the Utah State Tax Commission under Utah tax collection laws, so waiting around is a bad move.