In Los Angeles, California, where I practice bankruptcy law on behalf of consumers, and every other jurisdiction in the United States, it is true that, once you file a petition for either Chapter 7 or Chapter 13 bankruptcy, all collection attempts against you must cease. The reason for this is that, as I’ve discussed in many of my posts on this blog, upon the filing of the bankruptcy petition, an “automatic stay” goes into effect against all of your creditors’ collection attempts. This automatic stay, which originates in Section 362(a) of the US Bankruptcy Code, prevents creditors from calling, sending bills or letters, garnishing your wages or bank accounts or state income tax refunds, or foreclosing upon or repossessing your property. It is a sweeping stay that is intended to freeze all of your incoming and outgoing assets and liabilities so that the bankruptcy court can properly adjudicate the bankruptcy process.
Most creditors, upon receiving notice of the bankruptcy, do indeed stop collection attempts cold. When the bankruptcy petition is filed, notice is sent both electronically and by mail to every creditor listed in the petition. Creditors who are inadvertently not listed in the petition may be notified by you or your attorney even after the petition is filed, and, generally, even at that point, they will understand that they need to freeze all collection efforts.
Every once in a while, though, a creditor (usually one of the countless, dubious collection agencies across the country) will ignore the notice and continue harassing debtors who have filed for bankruptcy, even after having been informed of that fact and provided with the debtor’s case number and filing-date. What then?
At that point, there are a number of remedies available to you and your bankruptcy attorney. Primarily, under Section 362(k) of the US Bankruptcy Code, these violations of the automatic stay may be actionable. Likewise, such efforts may also be actionable as contempt of court. What that means is that your attorney may file a motion against that creditor in the Bankruptcy Court which may result in an award of $100 per contact attempt for you, as well as your attorney’s fees paid by the creditor.
In short, the automatic stay against collection attempts is one of the many protections and advantages the law offers those who file for bankruptcy. If you are considering filing for bankruptcy, please contact the Law Offices of Chirnese L. Liverpool at (818) 714-2200.
$999 bankruptcy, Attorney Bankruptcy California, Bankruptcy, Bankruptcy Attorney California, Bankruptcy Attorneys, Bankruptcy California, Bankruptcy faq, Bankruptcy in California, Bankruptcy Lawyer California, Bankruptcy Los Angeles, chapter 7
$999 bankruptcy, 341a meeting, 341a meeting of creditors, Adelanto, affordable bankruptcy, after bankruptcy, Agoura Hills, Alhambra, Anaheim, Angeles National Forest, Antelope Valley, Apple Valley, Arcadia, Artesia, attorney, attorney in bankruptcy, audit, audit defense, auto loans, Azusa, bad credit loans, Baldwin Park, bankrupsy, bankrupt, bankruptcy, bankruptcy advice, bankruptcy alternative, bankruptcy attorney, bankruptcy attorney los angeles, bankruptcy blog, bankruptcy chapter, bankruptcy chapter 7, bankruptcy court, bankruptcy fraud, bankruptcy information, bankruptcy law firm, bankruptcy laws, bankruptcy laws in california, bankruptcy lawyer, bankruptcy lawyers, bankruptcy los angeles, bankruptcy payment plan, bankruptcy preparer fee, bankruptcy timeline, bankruptsy, Banning, Barstow, Beaumont, Bell, Bell Gardens, Bellflower, Beverly Hills, Big Bear Lake, bk, bk attorney, Blythe, Bradbury, Brea, budgeting, Buellton, Buena Park, Burbank, ca bankruptcy, ca bankruptcy attorney, Calabasas, california, california bankruptcy, california bankruptcy attorney, california bankruptcy laws, california bankruptcy lawyer, Calimesa, Camarillo, Campo, Canyon Lake, car loans, Carlsbad, Carpinteria, Carson, Catalina Island, Cathedral City, Cerritos, ch 7 bankruptcy, chapter 11, chapter 13, chapter 7, chapter 7 bankruptcy, chapter bankruptcy, chapter seven, chapter seven bankruptcy, chatsworth bankruptcy, chatsworth bankruptcy attorney, cheap bankruptcy, cheap California bankruptcy, Chino, Chula Vista, Claremont, Coachella, Colton, Commerce, Compton, consolidation, consumer, consumer bankruptcy, consumer credit, Corona, Coronado, Costa Mesa, Covina, credit after bankruptcy, credit cards, credit consolidation, credit counseling, credit rating, credit repair, Cudahy, Culver City, Cypress, Dana Point, deadline, debt consolidation, debt help, debt relief, debt settlement, deed in lieu, Del Mar, Desert Hot Springs, Diamond Bar, discharge, dischargeability, divorce, Downey, Downtown Los Angeles, Duarte, El Cajon, El Monte, El Segundo, Encinitas, encino bankruptcy attorney, Escondido, family law, filiing bankruptcy in california, filing bankruptcy, filing chapter 13 bankruptcy in california, filing chapter 7 after chapter 13, filing chapter 7 after chapter 7, Fillmore, Fontana, foreclosure, Fountain Valley, Fullerton, Garden Grove, Gardena, Glendale, Glendora, Goleta, Grand Terrace, Guadalupe, Hawaiian Gardens, Hawthorne, Hemet, Hermosa Beach, Hesperia, Hidden Hills, Highland, how much you need to be in debt to file bankrupt, how to find a bankruptcy attorney, Huntington Beach, Huntington Park, Imperial Beach, Indian Wells, Indio, Industry, Inglewood, Inland Empire, Irvine, Irwindale, Joshua Tree, Julian, la bankruptcy attorney, LA Basin, La Cañada Flintridge, La Habra, La Habra Heights, La Mesa, LA Metro, La Mirada, La Puente, La Quinta, La Verne, Laguna Beach, Laguna Hills, Laguna Niguel, Laguna Woods, Lake Arrowhead, Lake Elsinore, Lake Forest, Lakewood, Lawndale, lawyer, lawyer bankruptcy, legal aid, Lemon Grove, Loma Linda, Lomita, Lompoc, Long Beach, Los Alamitos, Los Angeles, los angeles bankruptcy, los angeles bankruptcy attorney, los angeles bankruptcy lawyer, Los Feliz, low cost bankruptcy, lucerne valley, Lynwood, Malibu, Manhattan Beach, Marina Del Rey, Maywood, Mission Viejo, Monrovia, Montclair, Montebello, Monterey Park, Moorpark, Moreno Valley, mortgage after bankruptcy, Murrieta, National City, Needles, Newport Beach, non-dischargeable, Norco, Norwalk, Oceanside, Ojai, Ontario, Orange, Orange County, orange county bankruptcy attorney, Oxnard, Pala, Palm Desert, palm springs, Palos Verdes Peninsula, Panorama City, paralegal lawyers for bankruptcy, Paramount, Pasadena, Perris, personal loans, Pico Rivera, Placentia, Pomona, Port Hueneme, Poway, qualifying for bankruptcy, Ramona, Rancho Cucamonga, Rancho Mirage, reaffirmation agreements, redemption, Redlands, Redondo Beach, repossess, repossession, Rialto, Riverside, riverside bankruptcy, Rosemead, San Bernardino, San Clemente, San Diego, San Dimas, San Fernando, san fernando valley bankruptcy, San Gabriel, San Gabriel Valley, San Jacinto, San Juan Capistrano, San Marcos, San Marino, Santa Ana, santa ana bankruptcy, Santa Barbara, santa barbara bankruptcy, Santa Clarita, santa clarita bankruptcy, santa clarita bankruptcy attorney, Santa Fe Springs, Santa Maria, Santa Monica, Santa Paula, Santee, Saugus, Seal Beach, secured debt, short sale, Sierra Madre, Signal Hill, Silverlake, Simi Valley, Solana Beach, Solvang, South El Monte, South Gate, South Pasadena, Stanton, stop foreclosure, tax consequences, taxes, Temecula, Temple City, the trustee will likely auction the property and use the proceeds to pay your creditors’ unsecured claims., Thousand Oaks, thousand oaks bankruptcy attorney, timeline, Torrance, Tustin, Twentynine Palms, unsecured loans, Upland, van nuys bankruptcy, van nuys bankruptcy attorney, Ventura, ventura bankruptcy, ventura bankruptcy attorney, Vernon, Victorville, Villa Park, Vista, Walnut, West Covina, West Hollywood, West Los Angeles, Westlake Village, Westminster, what to expect at 341a meeting of creditor, Whittier, woodland hills bankruptcy, Wrightwood, Yorba Linda, Yucaipa, Yucca Valley
[...] a bankruptcy under chapter 7 “automatically stays” (stops) most collection actions against the debtor or the debtor’s property. 11 U.S.C. § [...]
[...] of the greatest benefits of filing bankruptcy is that it stops creditor harassment (the automatic stay). If you receive a call from a creditor, let them know you have filed bankruptcy and give them your [...]