A Las Vegas Attorney Gives Tips on Filing For Bankruptcy
January 28th, 2012
As a Las Vegas Lawyer I am versed in dealing with both Chapter 7 and Chapter 13 bankruptcies. Unfortunately, Vegas can be considered the Bankruptcy capital of the US. So, before considering a a Las Vegas Bankruptcy you need to recognize what bankruptcy can do for you. This post is a brief essay about the automatic stay in Bankruptcy. Upon declaring bankruptcy, as a debtor, an automatic stay is enacted. What an automatic stay prohibits lenders from doing certain actions. For example, once bankruptcy is filed a creditor cannot due the foregoing: Begin or continue a lawsuit towards you in any effort to collect the financial obligations which you allegedly owe. Continue with any collection calls. Once bankruptcy is filed a collection agency must cease and desist all attempts to collect any alleged debts. All repossessions must stop. Please be aware that if you are behind on payments, filing a Chapter 7 bankruptcy can temporarily stop the repossession of one’s car. But, the stay is only short-term. The creditor’s can be able to reposess your car if they decide to file a request to lift the automatic stay. Declaring bankruptcy can stop the foreclosure sale of your property. Once again, with a chapter 7 bankruptcy, this is only temporary. A chapter 13 bankruptcy can afford you more protection if your goal would be to stop a foreclosure sale. Declaring bankruptcy can stop the garnishment of one’s wages. This automatic stay can last until the following: 1. At the request of a creditor, the judge may lift the automatic stay. 2. The item of property no longer belongs to the person declaring bankruptcy. 3. The debtor receives the discharge. This occurs during when a chapter 7 bankruptcy is filed and a foreclosure and /or repossession is temporarily stopped. After the debtor receives a discharge a creditor is then free to purse repossession and foreclosure on the debtor’s property. So, with an automatic stay, a bankruptcy can allow you to get your economic affairs together, supply you relief from harassing calls from creditors, and stop the garnishing of your salary. But, keep in mind in the case of a chapter 7 bankruptcy these results are only short-term. As a Las Vegas Bankruptcy Lawyer I am versed in dealing with both Chapter 7 and Chapter 13 bankruptcies. Unfortunately, Vegas can be considered the Bankruptcy capital of the US. So, before considering a a Las Vegas Bankruptcy you need to recognize what a bankruptcy does. This post is a brief essay about the automatic stay in Bankruptcy.