Soon after you file bankruptcy, you should expect new bills and phone calls from creditors to stop. Sometimes they don’t. Why? They hope you’ll pay them anyway…without consulting your attorney, and sometimes people in bankruptcy do this.
Remember, once you file your petition, the court imposes an “automatic stay” against creditors. It stops all collection actions against you, including foreclosures, garnishments, attachments, lawsuits, regular monthly bills, and especially calls and letters. By contacting you in this way, the creditor is violating the automatic stay.
The good news is that your attorney can sue the harassing creditors and make them pay you damages. The creditors often try to weasel out of it, particularly if you didn’t pay them. It is a big deal because bankruptcy is designed to give you the “fresh start” you deserve. Even though creditors face large amounts in damages for violating the automatic stay, they may still try to get you to pay them.
If you’re thinking about bankruptcy in Connecticut, please contact me for a free initial consultation to get answers to all of your Connecticut bankruptcy questions.
Eugene S. Melchionne, Esq.
27 First Ave.
Waterbury, CT 06710