This Sacramento bankruptcy attorneycan tell you a great deal about how bankruptcy can prevent civil lawsuits, judgments, and liens.
When you filed for bankruptcy (Chapter 7, Chapter 11, or Chapter 13), the courts issue what is called an “automatic stay”. This prohibits creditors from either filing lawsuits against you or continuing lawsuits that they may have already instigated. All efforts to collect on debts will cease for the period of the filing. In the case of Chapter 13, for example, this could be 3-5 years. Many creditors are getting sneaky about how they file suit against you, and I’ve found that many of the people who contact me after a judgment has been placed never even knew there was a court date or a suit filed against them. If this has happened to you, it is possible that 25% of your wage has been garnished to repay the debt. If this has happened to you, it is also possible that you can file for bankruptcy and invalidate the garnishment under Federal bankruptcy protections.
As a Sacramento bankruptcy lawyer my job is to help people become free of debt so that they can start living again and contributing to the economy in productive, healthy ways. I’ve seen how these companies operate, and I am always glad when their behavior doesn’t pay off for them. Kicking someone while they’re down is never fair. This notion that people who can’t pay their bills are somehow thieves or con artists is how they manage to get away with being as cruel as possible in their collection efforts. You can’t pay, so you deserve everything that comes to you. Nothing is that black and white, least of all finances anymore. Most people try to pay their bills, attempt to work with their mortgage companies and lenders, and do try to negotiate prior to defaults. We Sacramento bankruptcy attorneys share horror stories of how these creditors not only refuse to budget but choose to clamp down harder. It’s really downright awful.
If you are under a wage garnishment or have a lien against your bank account, one way to get around this is by filing for bankruptcy. Bankruptcy forces an automatic stay and puts the case back into the hands of the courts—this time a Federal court system with specific guidelines that were put into place to help you instead of them. If you are in this position and would like to learn more about bankruptcy protections give us a call. We’d be more than happy to review your case with you and discuss your options for how to deal with creditors and collections efforts.
And that’s the scoop from your Sacramento bankruptcy attorney!
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