Q: Will creditors stop calling if I declare bankruptcy? In most cases yes. When a bankruptcy has been filed an automatic stay applies and prevents creditors from collecting on the debt.
Q: How long will it take before my creditors stop calling? A creditor holding debt subject to bankruptcy protection must stop all collection efforts as soon as the creditor is aware of the bankruptcy filing. After filing for bankruptcy the court sends out a notification to the creditors. This process often takes up to two weeks. Another way to notify creditors is to call and inform them of the filing and provide them with the applicable case number.
Q: Will bankruptcy remove my obligation to pay to pay alimony or child support? No. Obligations to pay alimony, spousal support and child support cannot be set aside in a bankruptcy.
Q: Will all of all debts be forgiven if I file for bankruptcy? Not necessarily. There are a number of obligations that will not be “wiped clean” through bankruptcy. A bankruptcy will not remove your obligation to pay back taxes, debts incurred as a result of fraud or theft, child support (as noted above) or federal student loans. An attorney can help you identify which debts are subject to relief through bankruptcy and which are not.
Q: Will I need to disclose all of my assets in the bankruptcy process? Yes, if you knowingly and fraudulently conceal assets from the court you may be fined, imprisoned and the court may deny your bankruptcy proceeding.