As a Las Vegas Lawyer I’m versed in dealing with both Chapter 7 and Chapter 13 personal bankruptcies. Unfortunately, Las vegas can be considered the Bankruptcy capital of the US. So, before considering a a Las Vegas Bankruptcy you need to know what bankruptcy can do for you. This post is a brief essay about the automatic stay in Bankruptcy. When declaring bankruptcy, as a debtor, an automatic stay is introduced. What an automatic stay prohibits creditors from doing certain actions. For instance, once bankruptcy is filed a creditor cannot due the following: Begin or continue a court action towards you in any attempt to collect financial obligations that you presumably owe. Carry on with any collection calls. Once personal bankruptcy is filed a collection agency must cease and desist all attempts to collect any supposed debts. All repossessions must stop. Please note that if you’re behind on payments, filing a Chapter 7 bankruptcy can in the short term stop the repossession of your car. But, the stay is only short-lived. The creditor’s can be able to reposess your car if they decide to file a request to lift the automatic stay. Filing bankruptcy can stop the foreclosure sale of your house. Again, with a chapter 7 personal bankruptcy, it is temporary. A chapter 13 bankruptcy can afford you more protection if your goal would be to stop a foreclosure sale. Filing bankruptcy can stop the garnishment of your wages. This automatic stay can last until the following: 1. At the request of the creditor, the judge may lift the automatic stay. 2. The item of property no longer belongs to the person declaring personal bankruptcy. 3. The debtor receives the discharge. This occurs during when a chapter 7 bankruptcy is filed and a foreclosure and /or repossession is temporarily halted. After the debtor receives a discharge a creditor is then free to purse repossession and foreclosure on the debtor’s residence. Therefore, with an automatic stay, a personal bankruptcy can allow you to get your economic affairs together, provide you relief from bothering calls from creditors, and cease the garnishing of your salary. But, remember in the case of a chapter 7 bankruptcy these outcomes are only temporary. As a Las Vegas Bankruptcy Lawyer I’m versed in dealing with both Chapter 7 and Chapter 13 personal bankruptcies. Unfortunately, Las vegas can be considered the Bankruptcy capital of the US. So, before considering a a Las Vegas Bankruptcy you need to know what a bankruptcy does. This post is a brief essay about the automatic stay in Bankruptcy.