There are all kinds of pitfalls associated with being in financial disarray, including getting bothered incessantly by their creditors. The harassment can seem never-ending. You may feel like you are trapped in a miserable situation.
You do have protection from this kind of harassment when you opt for bankruptcy. You instantly benefit from something called an automatic stay that kicks in upon filing for bankruptcy. Your creditors are barred from making attempts to collect from you during the time your bankruptcy case is ongoing.
Things your creditors will be prevented from doing
Here are some actions creditors can’t take against you due to the automatic stay:
- Pestering you with email, correspondence or text messages
- Putting a lien on a home
- Making phone calls to you
- Suing you
- Foreclosing on your residence
Your creditors, whether they are sprawling corporate entities or local businesses, must respect the automatic stay.
At the finish of your bankruptcy case, you receive a general discharge. It indicates that you completed all necessary steps associated with declaring bankruptcy and you are excused from repaying whatever debts that can be discharged.
What if a creditor doesn’t respect the automatic stay?
Some creditors may not let up in their collection efforts, however. They may try to repossess items that you own, continue to hound you through your work or neighbors or even contact you directly.
Don’t just hope your creditors get so exasperated that they decide to leave you alone. If you’re struggling with creditor harassment, legal help is available.