What Can and Should I Do if Creditors Keep on Calling Me after I filed for Bankruptcy?
Regardless of whether you filed a Chapter 7 or Chapter 13 case, the Bankruptcy Code has obvious (and strict) limitations on the dos and don’ts of creditors after your bankruptcy filing. The primary aim is that once the court receives your petition, your creditors shouldn’t attempt to discuss your debt. Retaining the services of Brooklyn Bankruptcy Lawyers is advisable in many bankruptcy cases.
What Can I Do if Creditors Keep on Calling Me?
Occasionally, a debt collector might not have received the bankruptcy notification immediately after filing. However, a debt collector cannot seek to collect on a debt once they are aware that you have filed for bankruptcy.
If a debt collector reaches out to you, and you tell them you’ve filed for bankruptcy, they’ll have to cease calling you. If you tell them you’ve engaged an attorney, they can request the info for your Brooklyn Bankruptcy Law Firm, but nothing more.
They are not allowed to inquire about whether you have paid a retainer to your Bankruptcy Attorney in Brooklyn, your reason for filing bankruptcy or contact you directly. The automatic stay is in place to block every debt collection attempt.
What Should Happen After You File For Bankruptcy
The court will usually close your case immediately after issuing the discharge order, but this is not always the case. For example, if the trustee is selling assets that take time to liquidate.
In four months, a Chapter 7 bankruptcy removes substantial debt. Not only is the filing procedure swift, but qualified debtors (filers) do not have to make monthly payments to creditors throughout a three to five-year reimbursement plan, as they would in a Chapter 13 bankruptcy.
After a bankruptcy filing, the automatic stop order goes into effect, then:
Creditor Notification: The court will mail you and your creditors a Notice of Chapter 7 Bankruptcy Case within a few days.
Debtor Education Certificate Filing: After you file your case, you must finish the second course, known as the debtor education course.
Provision of 521 Documents: The bankruptcy trustee will need specific documents from you, such as bank statements, pay stubs, and tax returns.
341 Creditors’ Meeting: At the meeting, you’ll provide identification that proves your identity and answer questions regarding the petition’s correctness while under oath.
Wait for Creditors Objection Deadline: Creditors can object to the court discharging their obligation, but they must do so within 60 days of the 341 meetings of creditors’ first day. Before issuing the discharge, the court will wait until the deadline passes.
Receive the Discharge: Once you’ve completed the above requirements, the court will issue a discharge order, which will wipe off your eligible debt. A few days later, you’ll receive a copy in the mail.
How Long Does it Take for Companies to Get Notifications Of Bankruptcy Filings
Every attempt to collect a debt must cease once a bankruptcy case filing occurs. Debt purchasers, collectors, and creditors get notified of a consumer’s bankruptcy petition immediately from the bankruptcy court or the latest one to two weeks
Since they subscribe to a system that tells them when a consumer files bankruptcy, numerous creditors and debt collectors know of your petition the moment you’ve done the filing.
What Should I Say Or Do Not Say to Those Debtors
Other than to inform the debt collector of your filing, there isn’t anything else that you are obliged to divulge. You can give them the case number and your Bankruptcy Lawyer Brooklyn NY contact but say nothing more.
How a Bankruptcy Attorney in Brooklyn NY Can Help
If you are having difficulty with your bankruptcy filing or find that a debt collector is harassing you after you’ve filed, contact Ursulova Law Offices to speak with expert Brooklyn Bankruptcy Attorneys. They are knowledgeable about bankruptcy and debt collection and will help restore your peace of mind.