Being in debt can be stressful. When bills go unpaid, creditors do everything they can to get in touch with their customers. This might mean a barrage of phone calls, letters, and even personal visits. Although there are rules regarding a creditor’s ability to contact customers at work, they may do it under certain circumstances. If a person doesn’t have the money to pay the bills, avoiding the creditors may become a full-time job.
How to Make the Contact Stop
There are a couple of ways to make creditors stop calling. One is to pay the bills. For those who are unable to pay what they owe, Chapter 7 in Tacoma Wa is another option. Bankruptcy gives people who file an automatic stay that prohibits contacts from creditors. Once the case has been filed and the creditors are informed of it, they are no longer able to contact their customer. If they have questions or concerns, they have to get in touch with the bankruptcy trustee. This simple feature of the U.S. bankruptcy code gives people in financial trouble a chance to breathe and consider the best way to move forward.
Benefits of Bankruptcy
In addition to the automatic stay, there are some other significant benefits of Chapter 7 in Tacoma Wa. Before a debtor can proceed with the bankruptcy, they are required to take part in a credit education session. They may do this in person or online. During the counseling session, the debtor will learn about all of the debt relief options available to them and receive help in determining which option is best for their individual situation. If bankruptcy is the right choice, the debtor and their attorney can proceed with the case.
Another benefit of bankruptcy is the ability to get new credit right away. People who have had trouble paying their bills for a while typically have bad credit and are unable to get a loan or credit card. After filing for bankruptcy relief, credit may be available for a car or a secured credit card within months.
Rather than waiting for creditors to sue, people with debt they can’t manage should consider filing for bankruptcy relief. This may give them the peace of mind they need to move on and get their financial houses in order.