What is an Automatic Stay?
Get protection when you file for bankruptcy in Oklahoma!
When a consumer is struggling with debt to the point of going under, they
may decide to file for bankruptcy. One of the many
benefits of bankruptcy is the automatic stay that is put in place once you file your petition.
This is an injunction that will automatically require all creditor lawsuits
and collection activity to stop. For those consumer debtors that find
themselves drowning in their debt, an automatic stay can be the timely
lifeline they need.
If you are considering
filing for bankruptcy in Oklahoma and want to know how this injunction will help with your situation,
Alexander Hilton & Associates is here to answer your questions. Our
founding attorney has been serving consumers for numerous decades, garnering
some of the highest client satisfaction rates across the entire state.
He is well-versed in bankruptcy laws and can provide the insightful counsel
you need during this overwhelming time.
Get an Oklahoma bankruptcy lawyer on your case today!
Start by filling out a free case evaluation.
How an Automatic Stay Benefits You
An automatic stay is designed to provide debtors relief when they are working
towards filing for bankruptcy. As soon as a debtor files their petition,
the automatic stay will immediately go into place, alerting creditors
and collectors that a majority of action against you must stop. Essentially,
the stay is in place to prevent creditors from trying to collect any property
that now belongs to the bankruptcy estate or could be exempted under the
law. If creditors or collectors do not stop or continue to harass a debtor
after a stay is in place, they may be in violation of the
Fair Debt Collection Practices Act.
The automatic stay can halt the following types of actions:
However, an automatic stay cannot stop criminal or divorce proceedings,
child support payments, certain tax liens, and other situations. Also,
creditors can make a motion to have the automatic stay lifted if they
believe it is not serving its intended purpose, such as if you filed for
Chapter 13 bankruptcy and they feel you won’t still won’t be able to pay back the
debt. This usually happens with secured creditors when the debtor has
minimal equity in the property behind the secured debt, such as a car
or home. That is why it is so important that you discuss your case right
away with a seasoned legal advocate who can help you understand how an
automatic stay will impact your financial future. This also ensures that
your bankruptcy filing is as successful as possible and that your rights
are safeguarded throughout the process.
Have more questions? Reach out to our bankruptcy attorney today!
At Alexander Hilton & Associates, we prioritize our clients’
needs and goals. When you come to us, we make sure to go above and beyond
to ensure your assets are protected and your financial future is on the
right track. If you need counsel regarding how to
discharge your debts, you can count on us to provide meaningful support.
If you want to learn about what to expect when filing, be sure to
call our Oklahoma bankruptcy lawyer for insight. We have been proudly serving clients throughout the state