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What are the chances that creditors will still try to collect from you if you just left court for a chapter 7 bankruptcy?
Wiki User
∙ 18y ago
Legally they can't, once the bankruptcy is filed it places an automatic stay on collection attempts/calls, lawsuits, garnishments, repossessions,foreclosures and so forth. Creditors are given the opportunity to request the stay be lifted but this generally involves secured property. A few exceptions might be where a judgment which does not exceed the person's insurance coverage or multi-party cases. If a creditor violates a bankruptcy stay the debtor should contact the attorney handling the BK or the court administrator where the BK petition was filed.
Wiki User
∙ 18y ago
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What protection does Chapter 11 Bankruptcy offer?
Chapter 11 is the bankruptcy code issued to a business who files for bankruptcy. This type of bankruptcy protects a business and will allow it to get running again. If a business fails and applies for chapter 7, they must sell everything and give the proceeds to creditors. A person on chapter 11 does not have to do this.
Is there a sample letter to notify debtors of bankruptcy?
There are letters that attorneys use to notify creditors of a debtors bankruptcy. This letter states that the individuals have filed bankruptcy and the creditors are to cease all contact and attempts to collect their debt.
Can creditors object to a bankruptcy filing or plan?
Yes. Each type of bankruptcy allows creditors to object to specific debts included in the plan or the manner in which the plan addresses the repayment or discharge. In Chapter 7 Bankruptcy, creditors generally have 60 days after the first creditors meeting to object to the discharge of a specific debt. If no objections are filed, the court will issue the discharge order and the trustee will proceed to collect and sell the assets, then distribute the proceeds to the creditors under a predetermined system. If there are objections, the bankruptcy itself, less the objected debts, continues through to discharge. It may be necessary to have a trial before a judge to resolve the items that creditors objected to. In a Chapter 13 case, creditors are given an opportunity to object to the plan for repayment. If there are no objections filed by creditors or the trustee, the plan may be confirmed as filed. After the plan is confirmed, the trustee will distribute the payments from the debtor to creditors until the
Why would your bankruptcy trustee object to your stopping your bankruptcy?
You might have had assets in excess of your statutory exemptions that the trustee is legally obligated to collect and pay your creditors.
Can creditors continue to accumulate fees and interest after bankruptcy?
Not if they were discharged. they can say you owe whatever they want but they can't collect.
Should the balance of a creditor you filed chapter 7 on show zero on your credit report after it has been discharged?
No. Bankruptcy discharge does not mean the money isn't owed. It means that creditors cannot attempt to collect it. The money will always be owed. Accounts included in bankruptcy will stay on the cr marked included in bankruptcy, for the full seven years.
Scheduled to be discharged without payment 185109 What does this mean in Bankruptcy chapter 7 and can creditors collect?
You need to read whatever you got from the court more carefully. "185109" is meaningless in federal bankruptcy. Courts do not usually "schedule" a case to be discharged." You may have received a letter from your lawyer saying that was the expected discharge date. If you receive your discharge, that is the end of any collection actions by any creditors.
What is an automatic stay of bankruptcy under title 11?
Automatic stay prevents creditors from taking any action to collect on debts.
What can occur when a person owes more money than he or she earns or pay to creditors?
A person can lose everything he or she owns when creditors move in to collect what they are owed. A person might have to go through bankruptcy.
What can occur when a person owes more money than he or she can earn or pay creditors?
A person can lose everything he or she owns when creditors move in to collect what they are owed. A person might have to go through bankruptcy.
What can occur when a person owes more money than he or she can earn or pay to creditors?
A person can lose everything he or she owns when creditors move in to collect what they are owed. A person might have to go through bankruptcy.
Can you try to collect debts owed to you when filing for bankruptcy?
Yes...in fact you must do everything possible to secure as many assets as you can to pay your creditors.
