| How the Automatic Stay protects you when you file a bankruptcy. |
The automatic stay is a provision in the bankruptcy code under 11 USC 362. Whether a person files a Chapter 7 Learn More about Chapter 7 or a Chapter 13 Learn more about Chapter 13 an automatic stay goes into place upon the filing of the bankruptcy. The automatic stay is your protection from creditors. In essence, the easiest way to describe it is that it is an injunction which will stop creditors phone calls, collection activities, the repossession of a vehicle, and stop a foreclosure. It is a very powerful tool which keeps any creditor from taking any action against any money or property you may have. Learn More about Creditor Harrassment
The automatic stay also will stop any act to perfect or enforce any liens against real estate or any acts to collect or assess any claims that arose prior to the bankruptcy. The automatic stay also allows for damages if a creditor violates the stay with notice of the bankruptcy and may allow for punitive damages. At Swanson & Wagman LLC, we are here to help you navigate through the complexities of filing a Chicago Bankruptcy. We are Chicago Bankruptcy Attorneys who know how to use the protection offered by the automatic stay for your benefit. See Our Website for More Information and schedule a free consultation today!
Marc
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Posted By Marc Wagman on June 14, 2010 09:49 am | Permalink  |