Salt Lake City Bankruptcy Lawyers

What is a Stay?

In bankruptcy proceedings, a stay is a requirement that creditors stop all collection efforts and lawsuits against the individual who files for bankruptcy. A stay is entered into both Chapter 7 and Chapter 13 bankruptcy cases and will remain in place until the bankruptcy is discharged or until the court lifts the stay.

What does this mean for you? This means that filing for bankruptcy could immediately stop all efforts from creditors to collect the money you owe. No more harassing phone calls or letters, or threats. You won’t have to worry when you answer the phone, that it will be another creditor calling about your debt. You can rest easy when all creditors are legally prohibited from continuing with any collection efforts or legal action against you. In some cases, a stay may last only for a limited time period – depending upon the particular case.

A stay includes any pending lawsuits, collection letters, phone calls, and foreclosure proceedings. There are actually considerable penalties which may be enforced if a creditor violates a stay and attempts to collect.

Bankruptcy Attorneys Serving Salt Lake City, Provo & Ogden, Utah

Contact a Salt Lake City bankruptcy lawyer at the Stone Law Firm today to learn more about automatic stays and how they will affect you in filing for bankruptcy. We are happy to take the time to review your unique situation during a free initial consultation, and we can address your particular concerns in order to put your mind at ease and help you make the right decision for your future.

Our skilled attorneys represent clients throughout all of Salt Lake City, Ogden and Provo, Utah. It is important that an experienced attorney review your case, as a stay will affect you in different ways, will affect your home and may have different consequences depending upon whether you file under Chapter 13 or Chapter 7.  You should fully understand all of these factors when making a decision of whether to file for bankruptcy in the first place, and we can help guide you in the right direction.

Contact a Salt Lake City bankruptcy attorney at the Stone Law Firm today to learn more about how an automatic stay may affect you.