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Bankruptcy and the Automatic Stay Will Stop Crazed Creditors

Bankruptcy and the Automatic Stay Will Stop Crazed Creditors
"In today's economy, many individuals are confronted with the reality that bankruptcy is in their future. The majority of Americans struggle to make ends meet and are sick of receiving calls from their creditors. Let's briefly examine some of the facts. Only 28% of Americans, according to a Wall Street Journal survey, believe the United States is moving in the correct direction. In 2008, 53% of Americans considered themselves to be middle-class, whereas in 2014, that figure has decreased to 44%. It is alarming that over the past three years, 46,5 million Americans have fallen into destitution. The average price of a gallon of gasoline has risen from $1.85 to $3.27, despite claims of recovery by the mainstream media. Since the United States is no longer a leader in exports, our trade deficit is $300 billion. This alone should indicate that the unemployment rate is nowhere near 6.7%. Large corporations have relocated overseas, and with them, their employment. It does not require a rocket scientist to work out why so many individuals are contemplating bankruptcy.When someone is living paycheck to paycheck, obligations are sometimes neglected and the individual falls further and further behind. Once a person begins to slide down the slope, it is difficult to get back on track, particularly if they do not earn enough money. When the wheels begin to come off, individuals in this situation should consider consulting with a bankruptcy attorney about filing for bankruptcy. Consultation with a bankruptcy attorney does not imply imminent filing, but it can serve as a reality check for the financially distressed individual. The attorney will explain all of the advantages and disadvantages of the procedure, as well as the effectiveness of the automatic stay. Other forms of debt elimination have their advantages, but nothing compares to the automatic stay and its capacity to protect the individual.The greatest benefit of declaring bankruptcy is halting creditors in their tracks. When a debtor files for bankruptcy, the automatic stay immediately halts all collection efforts against them. The automatic stay is so effective that it suspends all legal proceedings against the debtor. The automatic stay will halt wage garnishments, litigation, and foreclosures. If the creditor decides to continue calling the individual after the bankruptcy petition has been filed, the bankruptcy attorney can file a motion with the court to obtain sanctions against a creditor who continues to violate the automatic stay. Sometimes it's a simple error, and the calls will cease immediately, but sometimes creditors are persistent and measures must be taken. This is why bankruptcy is superior to all other methods of debt elimination. Using the U.S. legal system to stop aggressive creditors is effective. After filing for bankruptcy, the individual enjoys the peace of no longer having to worry about picking up the phone to an angry creditor.As the global economy continues to spiral downward, creditors' collection strategies are becoming alarmingly aggressive. Almost to the point of lawlessness exists in the financial industry. As their supervisors continue to dispute it, it is evident that the collectors are simply carrying out their orders. The only way to halt this is for American consumers to stand up and fight. There are laws in place to protect consumers from these collection tactics, but if they are not reported, they will continue. Insolvency places the power back in the hands of the financially troubled consumer.
" - https://www.affordablecebu.com/

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"Bankruptcy and the Automatic Stay Will Stop Crazed Creditors" was written by Mary under the Finance / Wealth category. It has been read 132 times and generated 0 comments. The article was created on and updated on 31 May 2023.
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