Tag: bankruptcy discharge violation
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What is a Bankruptcy Discharge Violation?
When a bankruptcy petition is filed, an automatic stay goes into effect immediately, ordering a stop to all collection activity with the force of a federal injunction. Later, when the bankruptcy court issues a discharge, the legal obligation to pay the debts terminates. Bankruptcy stops collection activity. But what if […]
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Debt Collectors and Bankruptcy Violations
Debt collectors must stop after a bankruptcy filing or they commit one of several bankruptcy violations. It doesn’t matter whether it’s a chapter 7, chapter 13 or other chapter. The filing of a bankruptcy creates what is called an automatic stay. Collection stops because the U.S. Bankruptcy Code imposes the automatic stay with […]