Bankrupcy Tips – Notice To The Creditors And Meeting – Part #3
After filing your petition for bankruptcy under Chapter 7, paying the necessary fees, and complying with the legal requirements, an automatic stay is granted to you by operation of law. This stay will effectively stop most collection actions against you and your properties (11 U.S.C. 362). This means that as long as the stay is in effect, creditors cannot initiate or continue lawsuits, wage garnishments, or even telephone calls demanding payments.
But note that there are certain types of actions listed under 11 U.S.C. 362(b) that’are not stayed when you file the petition. In some situations even, the stay is only’for a short period of time. So this should serve as warning.
After the bankruptcy case has been filed, the bankrupcy clerk will give notice to all creditors whose names and addresses you provided. Then, the case trustee willhold a meeting of creditors between 20 and 40 days after you filed your petition.This meeting is otherwise known as the 343 meeting, after the codal provision 11 U.S.C. 343 that provides for such.
In a 343, the debtor will be put under...
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