Automatic Stay

The automatic stay is a compelling reason to file for bankruptcy as it temporarily halts all collection actions against you.

Bankruptcy stops creditors in their tracks.

Bankruptcy laws were enacted to protect consumers from overwhelming debt and one of the features of filing for bankruptcy under Chapter 7 or Chapter 13 is the automatic stay. This is a court-ordered injunction that protects the debtor from certain actions by creditors and it begins the moment a bankruptcy petition is filed.

The Automatic Stay Can:

Stop creditors from contacting you about a debt – The law says that creditors need to cease all contact with you and any attempts to collect a debt should go through the court process.

Stop litigation from creditors – Ongoing lawsuits against you from creditors to collect debts are halted.

Stop wage garnishments – Once the automatic stay is in place, garnishments stop. This means you will take home a full paycheck again.

Stop your vehicle from being repossessed – If you have defaulted on your car loan, declaring bankruptcy will prevent creditors from repossessing your car. If your vehicle has already been repossessed, you will need to speak with Toscano & Wilson about how you can get it back.

Stop foreclosure proceedings on your home – Bankruptcy can delay or cancel a foreclosure sale. Talk to Toscano & Wilson to see the effects this would have on your property.

Keep your utilities from being disconnected – The automatic stay can stop your utilities from being disconnected.

What Is An Automatic Stay?

It is a court-ordered halt on all collection proceedings against you once you file for bankruptcy.

Contact Us

The legal experts at Toscano & Wilson understand what you are going through. Bankruptcy may seem like the end, but the truth is it is simply a new beginning. Through competent and compassionate legal representation with Toscano & Wilson, things can only get better. Give us a call, tell us your story, and start to feel better about your financial situation.

  • The information you obtain at this site is not, nor is it intended to be, legal advice. You should consult an attorney for advice regarding your individual situation. We invite you to contact us and welcome your calls, messages, and emails. Contacting us does not create an attorney-client relationship. Please do not send any confidential information to us until an attorney-client relationship has been established.

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