Automatic Stay

How the Automatic Stay works in bankruptcy

One of the most powerful benefits offered by bankruptcy protection is the Automatic Stay.  Once a bankruptcy is filed, all collection efforts, wage garnishments, and law suits are stopped. The Automatic Stay goes into effect under both Chapter 7 and Chapter 13 bankruptcy protection.
The Automatic Stay is exactly that: a stay.  The stay immediately goes into effect when the bankruptcy case is filed to provide relief from debt collectors.  It also remains in place until the bankruptcy is discharged.



Wage garnishment

All attempts by creditors to collect a debt

Harassing phone calls and collection activites

When Filing Bankruptcy
A list of creditors is required when filing bankruptcy.  The bankruptcy court will send notice of the stay to every creditor listed in the bankruptcy petition.  Therefore, each creditor is notified of the automatic stay.  Chapter Bankruptcy Lawyers will assist you through the bankruptcy process, including all paperwork regarding the bankruptcy petition and filing.
Emergency Bankruptcy and the Automatic Stay

The Automatic Stay is effective when immediate action is needed.  For example, in the case of a foreclosure, repossession, or wage garnishment, an emergency bankruptcy filing may be necessary.  Upon filing, the Automatic Stay works in the best interest of the debtor when facing emergency debt situations.

In addition, certain debt collections including some tax debt, child support, or criminal restitution debt may not be stopped or stalled by the Automatic Stay.  Therefore, it is best to contact Chapter Bankruptcy Lawyers and schedule a free debt evaluation and consultation with an attorney to determine if an Automatic Stay will help your specific case.

Furthermore, if you file a Chapter 7 bankruptcy and are behind on mortgage or vehicle payments, a creditor may petition the court to remove the Automatic Stay in order to proceed with a foreclosure or garnishment.  Thus, another reason to have the expert legal representation of Chapter Bankruptcy Lawyers.  Typically, there is a period of time to respond to this petition. Depending if you want to keep the property, your attorney can advise you if Chapter 7 or 13 would best benefit you.


Getting a fresh financial start and wiping out debt begins with a FREE CONSULTATION and debt evaluation with our experienced Arizona Bankruptcy attorney.  As a result, Chapter Bankruptcy Lawyers offers expert legal representation and $0 down to file your bankruptcy.

• Chapter 7 Bankruptcy • Chapter 13 Bankruptcy • Eliminate Debt with $0 Down • Free Debt Evaluation • Experienced, Trusted Attorney

After evaluating your debt, our attorney will recommend the best means by which to wipe out your debt. Next, upon qualifying for our program, you pay $0 down for legal fees. A payment arrangement is agreed upon in order to make low monthly payments for post-filing costs. 


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      4500 S Lakeshore Drive Suite 300
      Tempe, AZ 85282