After talking to a lawyer about your financial situation, you may decide that filing for Chapter 7 is a good move for your future. If so, there are several key things you should expect right after you file, and here are two of those things.
Your Creditors Will Stop Contacting You
Any creditor that you list on your bankruptcy documents will receive notification from the bankruptcy courts, shortly after you file, about your bankruptcy filing. The notification the court sends out is something referred to as an automatic stay, and this is a term used to describe the protection a person receives after filing for bankruptcy.
This protection is essential for most people who use Chapter 7, as the main thing it offers is relief from creditors. From the minute your creditors receive this notification, their efforts to collect money from you must cease. This means you will not receive any letters, phone calls, or any other types of communication from your creditors. Your creditors must simply wait to pursue collections from you until they receive word from the court that they are legally able to. If the debts end up discharged for these creditors, your creditors will never again be able to pursue you for the money you owed when you filed for bankruptcy.
You Will Go to a Court Hearing
The second thing that will likely take place after you file for Chapter 7 is a court hearing, and this is called a meeting of the creditors. This meeting will often occur within just a few weeks of filing your bankruptcy documents, and you must be there. If you do not show up, the court could dismiss your case.
The good news is that you will receive a letter in the mail that tells you when the hearing is and where it is. Your lawyer will also notify you about this hearing, and your lawyer might also discuss the meeting with you before it takes place. In other words, your lawyer should prepare you for what will happen at the meeting, and your lawyer will also plan to attend to speak to the trustee on your behalf.
If you are interested in finding a way to eliminate the debts you have so that you can start over, you should consider talking to a bankruptcy law firm. While bankruptcy is not the best option for everyone, it is a great choice for some people.
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