January 17, 2019 By:
If you successfully make it through the Chapter 7 bankruptcy process, the bankruptcy court will issue an order discharging certain debts in exchange for the sale of some of your property. A discharge means that you no longer have any legal obligation to repay the debt. But, what happens if the creditor simply ignores the court order and starts sending letters or making phone calls? Can you enlist the power of the court to protect yourself?
A party’s failure to follow or abide by the terms of a bankruptcy court order constitutes contempt of court and provides the court with a number of remedies. Accordingly, if a creditor makes any attempt to collect on a discharged debt, you should immediately notify the court. You may have to file a complaint with the court, which means you will incur some costs and legal fees.
The court may do any of the following:
Here are a couple caveats with respect to attempts by creditors to contact you after a discharge:
I provide a free initial consultation to anyone with questions or concerns regarding a bankruptcy filing. Contact my office by e-mail or call me at 972-772-3083 for a private meeting. With offices in Rockwall, Texas, I represent clients in Heath, Greenville, Lavon, Wylie, Mesquite and Rowlett.