after filing a ch. 7 bankruptcy petition, does this prevent creditors from reporting a account in bad standing

Question

or does this petition filing prevent them or freeze the account so creditor can't continue action.

Answer 1

As long as the creditor is listed on your bankruptcy, once you have a docket number, they are not to contact you at all. I just filed, and I have one creditor who hasn't been able to find me and since I filed all of a sudden has the guts to call my home, they are NOT suppose too. They are free to come to the meeting of creditors. If you have forgotten this person and they are not listed, you need to contact the Bankruptcy court (or attorney, I did mine pro se) and add them to the list. You don't want a discharge and then forget someone, then you credit will be worse, the one you forgot will be on there, credit won't be clean. Hope this helps, good luck to you, Bankruptcy is rough!

Answer 2

The automatic stay prevents creditors from initiating or continuing any collection efforts. You are required to make a full disclosure of your creditors. Your credit report should reflect that the account was discharged in a Chapter 7.

Courts have decided differently about what happens if you miss a creditor. If you have a "no-asset-distribution" case where an unsecured creditor would have been discharged anyway, most courts will deem that debt to have been discharged. The reason for this rule is to prevent clogging the system with people re-opening cases to add inadvertanly forgotten creditors. If you did forget to add someone, usually you can just send the creditor your docket number and they will process the information accordingly.



There was some incorrect information from one of the posters. If your account was sold or farmed-out to a collection agency, in most cases you do not have to list them. If you owe money to X, then it is because you had a contract with X and you should list X on your schedules. If X sells the account to Y who sells it to Z, that is usually irrelevant since you have no privity of contract with Y or Z.

Answer 3

I'm not a bankruptcy lawyer, but I am a bankruptcy student. I'm actually getting ready for my bankruptcy final coming in 3 weeks. I would assume that a creditor could still report your account in bad standing since you have not been discharged of your debt yet. But I'm not totally sure. (haven't finished reviewing) I do know that the filing basically puts everything on hold. A stay will go into effect that will prevent your creditors from touching any of your property so your creditors can't pursue any further action (if by further action you mean garnishing wages or repossessing your property).

Answer 4

Keep in mind that some creditors SELL the debts to collectors, which means that even if you put the original creditor on your bankruptcy, if you did not include the additional collector that the debt was sold to, then they would still be able to attempt to collect.

Answer 5

you'll locate the perfect answer for you at: QUOTEQUOTING.internet- RE Can a creditor document an account to the credit bureaus when I filed petition for financial disaster ch. 7? #EANF#