We all know why people are filing for bankruptcy. With a tepid recovery, jobs are hard to find, home values are still low, and fear and uncertainty are preventing business owners from expanding their businesses. The costs of health care are rising even with the Affordable Care Act in play. People are finding themselves saddled […]
The automatic stay in bankruptcy is a court-ordered injunction that goes into affect the minute a case is filed. The automatic stay prohibits creditors from continuing with collection efforts after a debtor seeks the protection of the bankruptcy court. For example, collection calls, garnishments, lawsuits, foreclosure, letters, e-mails and all other contact with the debtor must come to an end. Creditors to ignore the automatic stay and continue to contact the debtor after they have filed for bankruptcy can be subject to sanctions by the court. In some cases, such as when a debtor enters bankruptcy behind on their mortgage, creditors can ask the court to lift the automatic stay in order to proceed with foreclosure. Below, we have organized a library of articles that discuss application of the automatic stay as well as recent developments in case law from around the country. If you don’t find what you’re looking for, or are in need of additional information, please submit a question to the QA forum. Thank you for visiting the National Bankruptcy Forum.
What do you do when your credit card company sues you? You’ve received notice that your credit card company is suing you. What do you do now? The first step is to read the complaint carefully. Your creditor will most likely sue because you haven’t paid but can also sue you for defaulting on any term […]
Everyone preparing to file for bankruptcy wants to know the cost. After all, bankruptcy usually comes at a time when money is tight. Filing Fees and Required Courses Bankruptcy filers must pay a filing fee. For a Chapter 7 case, the fee is $335. For a Chapter 13 case, the fee is $310. The Bankruptcy […]
Creditors are notified of the stay The automatic stay is created immediately upon the filing of your bankruptcy case whether it be a Chapter 7 or a Chapter 13 case. The automatic stay is a one-page document that gets sent to creditors notifying them of your bankruptcy and prohibiting them from taking certain actions. If […]
Does Bankruptcy Eliminate Liability for Deficiency Judgments? It’s a common story in many areas of the country: real estate values have dropped and foreclosures have risen. Despite a recovery in some parts of the country, borrowers with little hope of seeing their property values bounce back are still deciding to walk away from their mortgages. […]