BANKRUPTCY LAW AND YOUR FINANCIAL PROBLEMS

YOU SHOULD CONSIDER BANKRUPTCY (CHAPTER 7, 13, OR 11) IF ANY OR ALL OF THE FOLLOWING APPLY TO YOU:

• YOU ARE RECEIVING HARASSING TELEPHONE CALLS FROM COLLECTION AGENCIES
• YOU HAVE BEEN SUED AND ARE FACING A WAGE GARNISHMENT
• YOUR CAR HAS BEEN REPOSSESSED OR SOLD BY YOUR LENDER
• YOUR HOME IS IN FORECLOSURE OR HAS BEEN FORECLOSED
• YOU ARE UNABLE TO CONTINUE PAYING THE MONTHLY PAYMENTS REQUIRED BY A CREDIT COUNSELING COMPANY OR DEBT CONSOLIDATION PROGRAM

CREDITOR COLLECTION MUST STOP

When a person files for bankruptcy (Chapter 7, 13, or 7), all his or her creditors are immediately prevented from attempting to collect the debt.  This is called the automatic stay.  This means that filing for a bankruptcy immediately stops: creditor harrassment (such as annoying phone calls), lawsuits, repossessions, foreclosures, and any other method for collection of a debt.

In general, individuals and small business (sole proprietors) have a choice as to the type of Bankruptcy that they file:

CHAPTER 7 BANKRUPTCY

OR

CHAPTER 13 DEBT CONSOLIDATION