One of the best aspects of a Chapter 7 Bankruptcy is what is referred to as the automatic stay. When you file a Chapter 7 bankruptcy, your creditors are immediately prevented from taking further action against you. This means that they cannot call you, continue to send you bills or take you to court over your debt. If they have a garnishment in place, they must release it. In addition, they cannot repossess your car or foreclose on your house without permission from the bankruptcy court.
Of course, the creditor has to know about the bankruptcy so that they know to stop all collection actions. After your case is filed, the bankruptcy court will send out notices to all creditors listed on your bankruptcy petition. This is why it is so important to list everyone that you owe money to along with all collection agencies.
If you are being harassed by creditors or collection agencies, we can make them stop. Contact me or call me today at 757-32-02010 to schedule your free consultation to see how a Chapter 7 Bankruptcy can end those nasty collection calls and letters.