Once you file bankruptcy, you will be placed as what is known as an automatic stay. The first question a lot of people ask their Professional Bankruptcy Lawyer Waukesha WI is what an automatic stay is exactly. It is just a period of time where you are protected from your bill collectors and your creditors. While you are in an automatic stay, creditors, collection agencies, and anyone else who might be trying to get money you owe them are required, by law, to leave you alone. There are some people who file bankruptcy just to get put in a period of automatic stay.
Stop Your Utilities From Being Disconnected
Once you get two to three months behind on a utility bill, it is not uncommon for the company to tell you that they are going to disconnect your service. In addition to the inconvenience of not having service anymore you would also have to catch up on your bill in addition to paying the reconnection fee. An automatic stay can prevent a utility company from turning off your service for at least a month. This could give you time to come up with some money to catch up on your bill.
Stop a Foreclosure From Happening
If the financial institution that holds the mortgage on your house decided to start the process of a foreclosure, an automatic stay would stop that process as well. Typically, this is something that would only stall the process for a short period of time. Most of the time the financial institute will continue with the process once you are no longer in the automatic stay period. If you want to keep your home, you should file for Chapter 13 instead of Chapter 7.
In terms of kicking you out of your home, the automatic stay period would be able to stall an eviction as well. Whether or not the eviction can be stalled depends on why you are being evicted. If you are being evicted simply because you owe the landlord money, it would be enough to stall it. You can talk to a Bankruptcy Lawyer Waukesha WI to see if the benefits of an automatic stay are worth filing.
