Automatic Stays

Protecting Your Property After Filing Bankruptcy

After filing for bankruptcy, it is important to know what property you can keep and what property you must turn over to the bankruptcy trustee. Automatic stays are issued by the bankruptcy court and protect you from collection efforts by your creditors. However, these stays do not protect you from all collection efforts. The automatic stay only protects you from collection efforts by your creditors directly.

If you are being harassed by a creditor not directly involved with your bankruptcy, such as a:

• mortgage lender
• utility company
• credit card company
• rental property manager
• or employer

You will need to file an adversary proceeding in your bankruptcy case to stop this creditor from collection efforts.

To learn more about automatic stays and how they protect you, contact our Plano bankruptcy attorney today. Contact LoBue Law online or call (972) 694-6400 to get started.

How Automatic Stays Are Issued in Bankruptcy

When you file for bankruptcy, the automatic stay is issued on the day you file. The automatic stay is an order from the bankruptcy court that is issued to all of your creditors. The automatic stay prohibits your creditors from any collection efforts against you.

The automatic stay will last until the bankruptcy court rules on your petition for bankruptcy relief. This can be anywhere from several weeks to several months. Once the automatic stay is issued, your creditors cannot contact you in any way, such as by phone, email, or mail.

There are, however, exceptions to the automatic stay that you should be aware of:

• The automatic stay does not protect you from collection efforts from your mortgage lender, your employer, or your car loan lender.
• The automatic stay does not protect you from turning over your property to the bankruptcy trustee
• The automatic stay does not stop credit card companies from increasing your interest rate
• The automatic stay does not stop your creditors from suing you for payment
• The automatic stay does not stop your landlord from evicting you
• The automatic stay does not stop your creditor from calling you to offer you a payment plan

How to End Automatic Stays

Once you file for bankruptcy, you will receive a letter from the bankruptcy court confirming your case. This letter will state the date of your first meeting of the creditors' and debtor's committees, as well as the date of your 341 meeting with the bankruptcy trustee. You will also receive your bankruptcy notice, which will tell you when you need to turn in your property list, as well as when you need to turn in your statement of financial affairs.

Once you turn in your property list, the automatic stay will be automatically extended for 30 days. You can request an automatic stay extension for an additional 30 days. The automatic stay can be extended for up to 60 days total if you need the extra time to turn in your statement of financial affairs.

Contact Our Plano Bankruptcy Lawyer

If you are considering bankruptcy, it is important to know what property you can keep and what property you must turn over to the bankruptcy trustee. The automatic stay protects you from collection efforts by your creditors. However, these stays do not protect you from all collection efforts. The automatic stay only protects you from collection efforts by your creditors directly.

Contact Our Plano Bankruptcy Lawyer Today

If you are considering filing for bankruptcy, it is important to know what property you can keep and what property you must turn over to the bankruptcy trustee. Our Plano bankruptcy attorney can help you navigate the automatic stay and other bankruptcy protections to protect your assets.

To learn more about automatic stays and how they protect you, contact our Plano bankruptcy attorney today. Contact LoBue Law online or call (972) 694-6400 to get started.