Filing for bankruptcy can be a very stressful decision. You can rest assured, though, that taking the leap towards financial freedom will give you the relief that you are seeking. You probably know that the bankruptcy process can take some time before it is finalized. But that doesn’t mean you won’t be able to have immediate benefits. Filing with a bankruptcy lawyer can give you immediate relief from your creditors.
Relief before and after bankruptcy filing
The moment that you file for bankruptcy with your lawyer, all(or most) of your creditors are legally required to stop trying to collect debt. This is called an “automatic stay”. This is also what prevents a home foreclosure or vehicle repossession from going through. It can end an ongoing garnishment and stop a lawsuit from turning into a wage garnishment.
Keep in mind that, even if you are planning to go into your bankruptcy lawyer today, it will still probably be a few weeks before your bankruptcy is filed as a case. This is because you often need time to gather all of the necessary documents and information for your lawyer to file your bankruptcy case.
The benefit of being represented by a lawyer
Aside from the fact that it will make your entire bankruptcy experience smoother and easier, there are other benefits to having your bankruptcy case represented by a lawyer. One of these reasons is that, although your bankruptcy won’t be filed for a few weeks at the earliest, you can often get immediate relief just from your first meeting with your bankruptcy lawyer. This is because, in most cases, a lawyer can stop certain things from happening before your cases is accepted. When you get represented, and your creditors are informed of this, the following will usually happen:
-Creditors will stop calling you
-All collection letters will be sent to your lawyer instead of to you
-If a creditor has already sued you, you can usually get some extra time through your lawyer before a judgement is entered. This gives you more time to get your bankruptcy in order before a judgement is necessary.
-You are less likely to be sued by a creditor. Legally, they aren’t required to not sue you. However, if they know you are in the process of filing for bankruptcy, they will probably not want to spend the money on court fees if they know you are filing for bankruptcy.