Leave a debt unpaid long enough and chances are you will receive multiple daily reminders of the unpaid balance, late fees, accruing interest and potential legal actions that will be taken against you. It is stressful enough to know that you aren’t able to meet a financial obligation, but add unsavory collections practices to mounting debt and stressful doesn’t even begin to describe the situation fully.
There is hope!
As soon as your bankruptcy case is filed, the court issues what is called an automatic stay, which forbids your creditors from contacting you or taking any further action against you in an attempt to collect on the debt. This stay comes with strict penalties for any creditors who are found to be willful violators, so you can have the breathing room you need to re-take control of your finances.