Tag Archives: morris county chapter 13 bankruptcy lawyer

Our Morris County Bankruptcy Attorneys Explain What To Do If a Creditor Harasses You While You Are in Bankruptcy

When you file for bankruptcy, unless you have had one or more prior cases pending and dismissed within the past year, an automatic stay goes into effect immediately upon filing that prevents most creditors from continuing collection activities while the case is pending. They cannot proceed with foreclosure, repossession, wage garnishment or lawsuits, and they are not allowed to contact you by phone, email or mail. The automatic stay does not stop criminal proceedings, child support actions, IRS audits or payroll deductions for retirement loans, however. In order to resume collection efforts while the bankruptcy case is pending, a creditor must obtain bankruptcy court permission by seeking an order lifting the stay. Creditors who violate the automatic stay may be subject to sanctions by the court. If a creditor keeps contacting you while your Chapter 7 or Chapter 13 case is pending or refuses to stop other prohibited collection activities,…
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Stopping a Foreclosure on Chapter 13

A chapter 13 bankruptcy allows an individual to keep his property and to pay back his debts over a period of three to five years. When someone files for Chapter 13 bankruptcy, he must submit a list of all his debts. In addition, he must supply a list of all his monthly incomes and expenditures. A plan is then generated that allows the debtor to pay installments to each of his creditors, each month, until the debts are paid off. When determining how long an individual will be making payments under Chapter 13 bankruptcy, the debtor’s monthly income is compared with the median income for the state of New Jersey. If the debtor earns less per month than the median income for New Jersey, his Chapter 13 repayment plan will be for three years. A bankruptcy court may then determine that the three-year plan is too short to pay off…
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