Cherry Hill Bankruptcy Lawyers – Creditor Harassment

Are you on the receiving end of frequent calls from debt collection agencies or creditors informing you that if you don’t pay what you owe you could face legal action? Are you afraid to go through your mail because almost every day you receive a stern warning letter from the bank, a creditor or a collection agency? If you’re having difficulty paying down credit card debt, paying your monthly mortgage and staying current on utility bills, you may not have enough disposable income to pay what you owe creditors. How, then, can you stop the constant barrage of calls and letters?

Stop Calls from Creditors — Considering Your Options

If you’re struggling with debt, you can rest assured there are many other families in Cherry Hill who are also facing tough financial decisions at the end of every month: do I pay the mortgage or what I owe on my credit cards? If you’ve reached a point at which there just isn’t enough money left at the end of the month, bankruptcy may be the best option available to you.

Once you file for Chapter 7 or Chapter 13 bankruptcy, an automatic stay is put in place, requiring banks, creditors and collection agencies to halt all foreclosure or collection actions against you. Practically speaking, this means that if you’ve fallen behind on your mortgage and the bank is threatening to foreclose on your home, they must temporally halt foreclosure proceedings against you.

Similarly, once you file for bankruptcy, credit card companies and collection agencies must desist from collection actions against you. This means they can’t call, write or contact you in any way. While the stay is temporary, it provides you the time needed to begin to get your financial affairs in order.

And, if creditors persist in contacting you, you can then sue them under the Fair Debt Collection Practices Act, holding them financially liable for violating the law.

Why Bankruptcy Can Save You Money in the Long Run

Cherry Hill, New Jersey, is an affluent area — no one declares bankruptcy in Cherry Hill, right? Wrong. The financial meltdown of 2008 is still being felt across the country, including in areas like Cherry Hill. Unfortunately, too often people think there is a stigma attached to filing for bankruptcy. As a result, they try everything they can to avoid filing for Chapter 7 or Chapter 13: they deplete their savings or they dip into their 401(k)s.

Doing so, however, almost always leaves you worse off than you were before. There are huge tax penalties for cashing in your 401(k) early. Additionally, whatever you take out of your 401(k) will subtract from the account’s earning potential over time. Depleting your savings will also leave you vulnerable to unforeseen events — health issues, job loss, disability — leaving you without the safety net you’ve put together.

Contact Cherry Hill Bankruptcy Attorneys at Neuner & Ventura, LLP

If you’re facing overwhelming debt and want to put an end to calls and letters from creditors, contact Cherry Hill bankruptcy attorneys at Neuner & Ventura, LLP today. We can evaluate your financial situation and discuss the best options available to you to regain your financial footing and take control again over your life.

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