As with any other legal process, it can be difficult and complicated to navigate the bankruptcy court system, including correctly filling out the right forms and paperwork, and understanding which dates and stipulations mean what. Unlike most other types of legal processes, bankruptcy is one that can be handled without the assistance of an attorney. However, bankruptcy is a highly nuanced system that can change in an instant with the introduction of a new form, different financial circumstances, or the decision of an attorney or trustee. Because of this, it’s strongly recommended that filers take advantage of the resources and protection a bankruptcy lawyer can provide. When you work with Behm Law Group Ltd. expert bankruptcy attorneys in Luverne, MN, you are ensured a neatly compiled case that offers long-term effective debt relief.
Individual consumer filers can use Chapter 7 bankruptcy to liquidate their non-exempt assets in exchange for debt relief or they can use Chapter 13 bankruptcy to reorganize their debts into a three- to five- year repayment plan suited to their unique financial circumstances. No matter which chapter you file for, however, you will immediately receive the benefits of the automatic stay.
The automatic stay is a routine procedural rule for bankruptcy cases. It goes into effect the moment a bankruptcy petition is filed. The implementation of the automatic stay prevents creditors from collecting debt payments from you, stops them from filing claims or lawsuits against you, keeps them from enforcing liens on any of your assets, and establishes a formal reconciliation or balance between them and you for the duration of your bankruptcy case. This legal reconciliation or balance prevents creditors from contacting/harassing you or sending other collections agencies after you.
The automatic stay protects you from your creditors while your bankruptcy case is being worked out, but it is still important to have the protection, guidance, and expertise of a trained and certified professional bankruptcy attorney. Aside from the valuable work of organizing your case, filling out the correct paperwork, establishing communications with the court, and overall guiding you throughout your case, a bankruptcy attorney can protect you against your creditors if uncommon events should occur. For example, the court could lift the automatic stay if one or more creditors file a motion to lift it. Additionally, creditors can ask the trustee administering your case to take action against you if they believe you have engaged in fraudulent behavior, object to the discharge of a particular debt, protest your paperwork, and take many other actions that can damage your case or leave you unprotected.
The helping hand of bankruptcy attorneys is often the key in forming a strong case that will produce successful results, and it is also critical for protecting you against any actions your creditors might take that compromise the automatic stay or introduce new legal proceedings.
To learn more about the help bankruptcy attorneys in Luverne, MN, can offer, contact Behm Law Group Ltd. at (507) 387-7200 or stephen@mankatobankruptcy.com today.
