Will my Creditors Stop Harassing me?

Will my Creditors Stop Harassing me?“Will my creditors stop harassing me?”  This is one of the main triggers that drive debtors to seek bankruptcy protection.

Yes, they will! As soon as a bankruptcy or a consumer proposal is filed a Stay of Proceedings goes into effect.

The Stay of Proceedings stops collection actions and contact actions against a bankrupt. Interest stops accruing and wage garnishee orders, whether in place or contemplated are stopped.

This does not apply to secured creditors such as banks holding, for example, a lien on a car.

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