How Can Bankruptcy Protect You?

There are many ways that bankruptcy can “save the day, and make debt go away!” But let’s not forget that bankruptcy can be a tool that protects consumers at the same time. For starters, there are bankruptcy laws that prevent fraud and harassment. Also according to the bankruptcy code, an “automatic stay” becomes effective the moment a bankruptcy petition is filed.

The Automatic Stay & Bankruptcy Process Can:

  • Offer immediate short-term & longer-term debt solutions
  • Provide a clean slate to begin building credit again
  • Stop creditor harassment
  • Stop wage garnishments or tax levies
  • Save your home from foreclosure
  • Save your car from repossession
  • Completely eliminate debts such as credit cards, medical bills, utilities bills, payday loans, etc.
  • Reduce amount of debt owed
  • Allow bankruptcy exemptions to keep property
  • Turn your life around for the better
  • Begin with a free consult with an attorney
  • Get started with as little as $100 down

Automatic Stay Protects Consumers

One of the first things we will explain about the process of bankruptcy is the power of the automatic stay to protect consumers. The automatic stay remains effective despite newer bankruptcy laws intended to protect creditors. Although the recent law changes may limit the protection of the automatic stay, in most cases, when you file for bankruptcy relief your creditors must stop attempting to collect from you. Creditors cannot continue to call you or send you collection letters. The Bankruptcy Code protects you  This “stay” prohibits all collection activity after you file for bankruptcy relief. The automatic stay stops any lawsuit filed against you and almost any other action against you, your property and your paycheck. Once the automatic stay is in place, you can refer collection calls to our office.

Automatic Stay Stops all of the Following Emergencies:

Foreclosure: If your home is in foreclosure, the automatic stay will stop the foreclosure action. Chapter 13 is your best bankruptcy option to save your home from foreclosure. Ordinarily, you can file a chapter 13 to save your home anytime prior to the forced sale of your home.

Utility shut-offs: If your lights and gas have been disconnected by the utility company, the automatic stay will force the utility company to reconnect your service. If the utility company is threatening to shut-off your lights and heat, filing bankruptcy will prevent the utility company from disconnecting your service.

Car Repossession: The repo man cannot take your car after you file for bankruptcy relief. The automatic stay prevents your creditors from taking your car. If you want to keep your financed vehicle, you must continue to make your car payments after you file for Chapter 7 bankruptcy. If you filed Chapter 13, you must make all of your trustee payments or the car creditor can ask the judge to “lift the stay” so they can lawfully repossess your car.

Lawsuits/Garnishments: Filing bankruptcy stops lawsuits and wage garnishments immediately. The automatic stay protects your paycheck from your creditors. You will take home a full paycheck and you will probably be able to eliminate that entire outstanding debt in bankruptcy.

Public Benefit Over payments: If you receive public assistance in Wisconsin and the agency mistakenly overpaid you, the agency can collect the over payment. The automatic stay stops the agency from collecting the over payment. The debt will be eliminated in bankruptcy unless the government agency objects based on fraud.

Tax Levies: The automatic stay will stop the IRS from issuing a tax levy or seizing your property. However, the IRS can still audit you, demand you file your tax returns, assess you a tax liability and demand you pay the assessment.

The automatic stay will not stop any of the following:

Criminal Proceedings: The automatic stay will not stop a criminal action. If you are charged with driving under the influence, filing bankruptcy will not stop the state from prosecuting you. However, if a criminal action can be separated into criminal and civil liabilities, the creditor may be prevented from collecting on the underlying debt.

Domestic Support Actions: The automatic stay will not stop a lawsuit against you seeking to establish paternity or to establish, modify, or collect child support or maintenance. More about what bankruptcy will NOT do

To further protect consumers, the automatic stay will remain in effect until:

  • You complete the bankruptcy and receive a discharge;
  • The bankruptcy judge lifts the stay at the request of the creditor;
  • The property you want to protect is no longer part of the bankruptcy estate.

    Talk To A Bankruptcy Protection Lawyer

    Learn about how new bankruptcy laws affect your particular situation. Contact an attorney at Debt Advisors Law Offices to schedule a free initial consultation at any of our six Wisconsin locations.  Or, complete our secure online evaluation form, and an attorney will follow up with you promptly.

Reviews by Google Users

  • 5 star review  I highly recommend Debt Advisors if you are considering a bankruptcy. We are nearing the end of our plan and everyone at DA has been extremely helpful and thorough. Angel in particular has been very helpful with the many, many questions we've had over the years. Thanks for all of your efforts!

    thumb Howard Lord
  • 5 star review  Everyone treated me with dignity and respect. Chad explained everything and put me at ease. I would recommend Debt Advisors to anyone looking for professional quality experience.

    thumb Angela McAllister
  • 5 star review  I had nothing but an amazing experience. Very professional, intelligent, hard working, and caring. Attorney Michael S. Georg was nothing short of amazing! He made the process painless and easy. From the first meeting to the last he was nothing but professional and showed that he cared! His staff was excellent and is very helpful!

    thumb Darrel Allen Sr
  • 5 star review  From the second I walked in and talked to the lawyer I felt a sense of relief and a huge weight off my shoulders. Debt Advisors was efficient, timely, and professional. They helped my husband and I to get a fresh start financially.We’re so happy we chose Debt Advisors!!

    thumb Suseela Riley
  • 5 star review  Not a good year, 2016. Chad L. Schomburg at Debt Advisors Law Office made it easier. Very professional and with the knowledge to answer all my questions. Extremely happy with the results and I highly recommend this Law Office.

    thumb Marco Ramirez
  • 5 star review  Mike Georg was extremely helpful during the entirety of my process. He made sure I understood exactly what was going to happen and he was always there to answer any questions I may have had. I really like the fact that I didn’t have to pay all out of pocket at once. Their payment plan made it easy for me to pay what I had to without breaking the bank. I’m completely satisfied with the level of professionalism that everyone in the office has. Even to this day I’m able to get in touch with them which I’m really grateful for. I’d definitely recommend them to my family and friends. If your someone who’s looking to get out of debt but are skeptical, you’ll have no worries here with Debt Advisors. The process is quick and easy.

    thumb Shetara Johnson
  • 5 star review  I still remember the day when I started my bankruptcy back in 2016. I selected Debt Advisors because a good friend of mine had recommended Atty Mike Georg to me. After we met I was glad that I did select Debt Advisors for many reasons. Mainly, it was the professionalism and care that Mike and his staff showed me throughout the entire process. It felt good knowing that my situation would be taken care of efficiently and in a timely manner. Even after my bankruptcy was discharged Attorney Mike Georg and Debt Advisors have been there for me in 2018 and this 2020. Both times I've needed professional help with things like providing me with documents and forms that I've needed from my case. I strongly encourage anyone looking for debt consultation to visit Debt Advisors for help. They're great at what they do!

    thumb Arlandus Morton
  • 5 star review  Bankruptcy is never fun, but this Law Office made it so much easier. If I ever had any questions at all they were answered timely. They even helped me through a rough time when I ended up having to pay taxes and had a big medical exspense too! They were always kind and never made me feel bad for having to do the bankruptcy. They were sympathetic to why and just helped me through it! I recommend them to anyone I know going through this or having to start this process. I know of two of the people I referred who used htem and loved them too! Thank you Debt Advisors Law Offices! Jeremy and Angel thank you personally!

    thumb Tami Miller
  • 5 star review  I can confidently say that Debt Advisors is NOT in the business of taking advantage of you in your current situation. Debt Advisors is in the business of helping you get in a better place than you are now. I was there, constantly worrying about this large amount of debt that I owed. Feeling sick to my stomach and unable to sleep at night. Then I talked to Mike. He is genuine and honest. Having him in my corner took this huge weight off my chest. If you are in this place, I highly recommend giving Debt Advisors a call, it is the first step in the right direction.

    thumb Kurt Cameron
  • 5 star review  I had nothing but and amazing experience with Debt Adviosrs. They made this process for me easy and painless. Still today they are open and willing to help me. These are really great people, and they really care. Thank you Geroge and the rest of your team.

    thumb DENISE MOORE

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