by:
Wade Waldrip
on Thu Nov 3,2016 20:00:04
It is not uncommon for people in financial distress to forestall filing bankruptcy until they are actually sued by creditors, followed by the inevitable garnishment of either their wages or their bank accounts (often both). When such aggressive collection activities occur, debtors typically go into immediate "panic mode" because they suddenly realize they cannot pay their mortgage payment or rent. Moreover, checks they may already have written, but have not yet cleared the bank, are likely to bounce because there is no longer adequate funds on deposit to cover them.
Fortunately, the Bankruptcy Code strictly prohibits collection efforts by creditors, including the Internal Revenue Service, once a bankruptcy case is filed. This prohibition covers harassment by letter or telephone call, civil law suits intended to collect unpaid or delinquent debt(s), wage levies, garnishments, foreclosures, and repossessions.
If you fear being sued or garnished by creditors, it is important to consult one of the experienced bankruptcy attorneys at McDonald Law Offices to learn how you may protect yourself from aggressive collection activities.
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