In my opinion, no attorney can provide a consumer with more relief, more quickly, than a bankruptcy attorney. On the day a bankruptcy petition is filed, in fact at the very moment the petition is filed, the bankruptcy court enters an order called an automatic stay. The order is entered pursuant to the provisions of section 362 of title 11 of the United States Code. It constitutes a directive by a federal judge to each and every creditor of the consumer to immediately stop any and all collection activities. This means that the creditor(s) must cease collection calls, collection letters, lawsuits, garnishments and even foreclosure proceedings.
We often have folks come into our office who have gotten behind on their bills and are facing relentless collection calls from their creditors. The collectors can be belligerent and cause a lot of stress for the person on the receiving end of the calls. The stress can cause health problems and put pressure upon a marriage. By filing a bankruptcy petition, we can immediately stop the calls.
Others may come to see us that have gotten behind on their mortgage payments and are facing a potential foreclosure. In many states; including Alabama, Mississippi and Tennessee; the foreclosure process can take place very quickly. Losing a family home can have a devastating effect on a family. Filing a bankruptcy petition even one hour before a foreclosure sale (You should not wait until the last minute to consult with a bankruptcy attorney) will stop the sale and give the homeowner a chance to save her home.
If an individual that comes to see us is facing a lawsuit or even a garnishment, a bankruptcy filing will immediately stop the collector’s efforts to garnish the person’s wages or bank account. In certain circumstances, we may even be able to get back some of the money that has already been garnished.
Many people are facing financial problems in today’s economy. If you are one of them, please consult face to face with an experienced bankruptcy attorney so that you can learn your options. The automatic stay may be the time out that you need in order to get your life back on track.