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Bankruptcy Automatic Stay

Bankruptcy Automatic Stay in Brandon, Florida

When you file for bankruptcy, an “automatic stay” goes into effect. This means that most creditors are prohibited from trying to collect a debt from you. An automatic stay is a powerful tool that can stop wage garnishment, eviction, and even foreclosure.

However, the automatic stay is not permanent. There are some exceptions to the automatic stay that you should be aware of. One exception to the automatic stay is if you have filed for bankruptcy more than once in the past. In this case, the automatic stay will only last for 30 days. After that, your creditors can start trying to collect again.

Another exception to the automatic stay is if you have filed for Chapter 7 bankruptcy and then tried to file for Chapter 13 bankruptcy. In this case, the automatic stay will only last for 30 days as well. After that, your creditors may begin collecting from you. If you have filed for Chapter 13 bankruptcy, the automatic stay will last until your repayment plan is completed or your case is dismissed. However, if you miss a payment, your creditors can ask the court to lift the automatic stay and start trying to collect again.

It’s important to understand the exceptions to the automatic stay so that you can be prepared if your creditors try to collect from you after you have filed for bankruptcy. If you have any questions about the automatic stay or the exceptions to it, don’t hesitate to call The Golden Law Group to speak with bankruptcy attorneys in Brandon.

What is Bankruptcy Automatic Stay?

The automatic stay is a court order that stops most collection actions against you. It gives you time to catch up on missed payments, work out a repayment plan, or sell the property to pay your debts. The automatic stay is one of the most powerful tools in bankruptcy.

When you file for bankruptcy, an automatic stay goes into effect that stops most creditor actions, including wage garnishment, foreclosure, and collection efforts. But the automatic stay is a complex legal mechanism, and you need experienced attorneys to navigate it. That’s where we come in. Call our lawyers at The Golden Law Group now to learn your best options and get the relief you deserve. Don’t wait any longer to take control of your financial future. Contact our Brandon, Florida bankruptcy attorneys today!

The automatic stay stops:

  • Creditors from calling or writing to you
  • Wage garnishment
  • Foreclosure
  • Eviction
  • Collection lawsuits
  • Utility shut-offs
  • Most collection actions by government agencies.

The automatic stay does not stop:

  • Child support or alimony payments
  • Criminal proceedings
  • Collection actions allowed by the court

Obtain the time you need to get your finances back on track with an automatic stay. If you have unanswered questions, it is high time you call our Brandon bankruptcy law firm to ensure you are on the right track to eliminating your debts.

How Does Bankruptcy Automatic Stay Affect Foreclosure Proceedings?

In general, the bankruptcy automatic stay can affect foreclosure proceedings by temporarily stopping the lender from proceeding with the foreclosure. If a debtor has a mortgage on their home and they file for bankruptcy, the automatic stay may temporarily stop a foreclosure action by the lender. This can give the debtor some time to catch up on missed payments, negotiate a loan modification, or explore other options for saving their home. However, the automatic stay is not a permanent solution and does not eliminate the debtor’s obligation to pay the mortgage.

In some cases, the lender may be able to request that the automatic stay be lifted or terminated, depending on the circumstances of the case. For example, if the debtor has no equity in the home or if they are not making any efforts to catch up on missed payments, the lender may be able to petition the court to lift the automatic stay successfully. The Golden Law Group consists of skilled bankruptcy lawyers who can help you understand your rights and options under the automatic stay and defend you against efforts by the lender to lift or terminate it. Call us today to discover your options!

How Does Bankruptcy Automatic Stay Affect Wage Garnishment?

In general, the bankruptcy automatic stay can affect wage garnishment by temporarily stopping the creditor from garnishing the debtor’s wages. If a creditor has obtained a judgment against the debtor and is garnishing their wages, the debtor may be able to stop the garnishment by filing for bankruptcy. The automatic stay will go into effect when the bankruptcy petition is filed, and it will generally stop the creditor from garnishing the debtor’s wages.

Can Bankruptcy Automatic Stay Be Lifted or Terminated?

Bankruptcy automatic stay can be lifted or terminated in certain circumstances. In some cases, a creditor may be able to petition the bankruptcy court to lift or terminate the automatic stay. For example, a lender may request that the automatic stay be lifted in order to proceed with a foreclosure action on a home. In such cases, the court will consider the creditor’s request and decide whether to grant it or not.

The decision to lift or terminate the automatic stay is based on various factors, including the debtor’s ability to pay the debt, the creditor’s rights under the law, and the overall fairness of the situation.

What are the Consequences of Violating Bankruptcy Automatic Stay?

Violating the bankruptcy automatic stay can have serious consequences for both the creditor and the debtor.  If a creditor violates the automatic stay, they may be subject to sanctions by the bankruptcy court. This could include fines, attorneys’ fees, and other penalties. In addition, the creditor may be required to return any property or funds that were seized or obtained in violation of the automatic stay.

For the debtor, violating the automatic stay can be very stressful and disruptive. It can also undermine the purpose of the bankruptcy process, which is to provide a fresh start for the debtor. If a creditor violates the automatic stay, the debtor may be able to seek relief from the court. If you need legal advice and are unsure of whether you violated bankruptcy automatic stay or not, call our Brandon bankruptcy law firm immediately.

Take Bankruptcy Automatic Stay to Your Advantage!

Bankruptcy automatic stay is a legal protection that goes into effect when an individual or business files for bankruptcy. It is designed to provide a temporary pause in certain types of creditor actions, such as wage garnishment, foreclosure, and collection efforts. The goal of the automatic stay is to give the debtor some breathing room and a chance to reorganize their finances, rather than being constantly pursued by creditors.

For individuals and businesses struggling with debt, the automatic stay can be a much-needed reprieve from creditor harassment. Facing constant phone calls, letters, and legal action from creditors can be overwhelming and stressful. By filing for bankruptcy, you can end this harassment and focus on rebuilding your financial health.

However, the automatic stay is not a permanent solution, and it does not apply to all types of creditor actions. In some cases, creditors may be able to petition the court to lift the automatic stay or have it terminated. This is where an experienced bankruptcy lawyer can be extremely helpful. At The Golden Law Group, we do not just provide legal advice, but we also help you understand your rights under the automatic stay and defend against efforts by creditors to lift or terminate it. Our Brandon bankruptcy lawyers can help you navigate the bankruptcy filing process and take advantage of the protections afforded by the automatic stay.

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“Bankruptcy in Florida, by G. Donald Golden” answers some general bankruptcy concerns, such as: How do I know if I should file for bankruptcy?”

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