Once a person files bankruptcy, an “automatic stay” becomes effective, literally stopping all creditors in their tracks. This includes stopping foreclosures, garnishments and repossessions. However, this may only be temporary. A creditor represented by an Arizona bankruptcy lawyer can file a motion to get permission from the debtor’s bankruptcy judge to proceed with enforcing its rights.
All debtors must attend a 341 meeting of the creditors about a month after they file bankruptcy. So long as you have retained a qualified Arizona bankruptcy lawyer and provided all of the requested documents to the trustee, the 341 meeting will most likely be a smooth and painless experience.
Many people ask me whether being an Arizona bankruptcy lawyer is depressing. It isn’t. Most debtors and creditors are good people and businesses. However, all bankruptcy clients must take ownership of their bankruptcy. When a client fails to provide accurate and timely information in the most efficient manner possible, the entire process can become unnecessarily complicated, expensive and stressful.