When an individual is faced with significant debt, they may feel overwhelmed not only because of their financial situation itself but also because of calls from debt collectors at their home and work. This added layer of stress is the last thing someone who is struggling financially needs. When creditors have made multiple requests for payments that the debtor simply cannot make, they may wish to consider filing for bankruptcy. As soon as an individual files for bankruptcy, the automatic stay goes into effect.
The automatic stay is a powerful tool that requires all creditors to cease collection attempts immediately. Not only that, the automatic stay can stop a foreclosure in its tracks. This provides the debtor with some much-needed room to breathe after they have been harassed by collection agencies. The automatic stay can provide peace of mind to an individual as they embark on the complicated, life-changing financial procedure that is bankruptcy.
The automatic stay will remain in effect until after the bankruptcy proceedings have ended. The bankruptcy may result in the discharge of some of the individual’s debts.
If you are struggling financially and are unsure of where to turn, contact our firm today to discuss your options.
The Lauterbach Law Firm is proud to serve clients throughout Rockland County who are faced with legal matters related to estate planning, real estate, foreclosure defense, landlord-tenant law, business law, and criminal defense. If you require the services of an experienced team of attorneys, contact The Lauterbach Law Firm today to schedule a consultation.