Kingcade & Garcia, P.A.
Set Up a FREE In-Office Consultation
305-285-9100
Open Every Saturday Morning 8 AM to 11 AM.

What can bankruptcy�s �automatic stay� protect you against?

As a Florida resident facing mounting debt, you may feel as if you spend the majority of your day dodging creditors and fielding threats. You may, too, be considering filing for bankruptcy in an attempt to get your financial affairs back in order. Should you decide to move forward with the process, you may be able to obtain temporary protection from creditor harassment through something known as "automatic stay."

According to LendingTree, an automatic stay is something that takes effect as soon as you begin your bankruptcy case, and it can provide you with temporary relief from creditor harassment while your case is ongoing. Essentially, the automatic stay prevents your creditors from trying to collect on your debts while you work through the bankruptcy process, but this protection period ends when either your debts undergo discharge, or when your bankruptcy case officially closes.

So, what, exactly, can bankruptcy's automatic stay grant you temporary protection against? For starters, if you are losing part of your paycheck due to wage garnishment, the automatic stay will halt the process, enabling you to receive your full paycheck. Similarly, if you are fielding threats from your utility company because you have fallen behind on your bills, know that they cannot disconnect your power for nonpayment during the automatic stay period.

The automatic stay may also help you remain in your home, at least for a period, as you navigate the bankruptcy process. If your landlord has threatened to evict you, but he or she has not yet received an eviction judgment, he or she may no longer do so once you begin your bankruptcy case. The automatic stay may, too, help you avoid foreclosure.

This information about bankruptcy's automatic stay is educational in nature and is not a replacement or substitute for legal advice.

No Comments

Leave a comment
Comment Information

Set Up A Free, In-Office Consultation

Open Every Saturday Morning 8 AM to 11 AM.

Bold labels are required.

Contact Information
disclaimer.

The use of the Internet or this form for communication with the firm or any individual member of the firm does not establish an attorney-client relationship. Confidential or time-sensitive information should not be sent through this form.

close

Privacy Policy

EMAIL US FOR A RESPONSE

Firm Location

Kingcade Garcia McMaken
1370 CORAL WAY
Miami, FL 33145

Miami Law Office

Firm Number
Review Us