Once you start to fall behind with the payment of your bills, it won’t take long for the companies to which you owe money to start calling. They may send you bills in brightly colored envelopes to embarrass you at your mailbox and catch your attention. They might call you multiple times a week at your home and at your place of employment.
Eventually, if they don’t get the results that they want, their behavior may escalate to bringing lawsuits against you. If you have reached the point where you feel frightened to go to your mailbox or answer your phone, that’s a sign that your debt issues have started to take a toll on your mental health. It might also be a sign that bankruptcy would really benefit you.
Just filing will put an end to those collection calls
While it is true that bankruptcy proceedings take months if not years to complete depending on the kind of bankruptcy you file, that doesn’t mean that you are at the mercy of your creditors until the courts discharge your debts. Quite the opposite.
From the moment you file for bankruptcy protection, you receive the help of an automatic stay. Essentially, the courts make information about your bankruptcy filing public to put an end to aggressive collection tactics. Once your creditors know that you have filed, they will have to stop calling you, stop sending you letters and drop any pending litigation related to your debt.
Provided that you successfully complete the bankruptcy process, the outstanding balance on unsecured lines of credit will be part of your discharge, which means you won’t have an obligation to repay those debts.