Yes, they will! By law, all actions against a debtor must cease once the bankruptcy documents are filed.
Creditors cannot initiate or continue any lawsuits, wage garnishees, or even telephone calls demanding payments.
Secured creditors such as banks holding a lien on a car, will get the stay lifted if you cannot make payments.
If you need guidance on significant debt obligations and live in the Northern Kentucky area, give my office a call at 859.824.3361. to set up your free, no obligation and confidential consultation.
There has been much doom and gloom written about the bankruptcy means test under the new laws and how much more difficult it’s going to be to file Chapter 7.
It’s true that there are more hoops to jump through under the new laws, and it’s true that the bankruptcy test will result in some people having to file chapter 13 instead of Chapter 7.
However, for the vast majority of filers, Chapter 7 is still available with very little extra effort!
If you are considering Bankruptcy and have questions about whether Chapter 7 or Chapter 13 Bankruptcy is the way to go, give my office a call at 859.824.3361 for a free phone consultation.