Can a creditor still collect after bankruptcy? 15 Answers as of March 22, 2011

I lost a a case in court by a creditor Dec,14. 2010. This was an unsecurd debt brought by citifinancial. I filed chapter 7 bankruptcy Jan.4 2011 pro se. They were included in the suit but I did not contact the lawers that won the case. I only included the citifinancial account. They tried to garnish my pay and I contacted the lawers to tell them of my fileing. I was sent a letter of suggestion of bankruptcy from the lawyers. Can they still collect on the debt. What should I do next?

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Benson Law Firm
Benson Law Firm | David Benson
You should contact a qualified attorney if you suspect a company is either violating the bankruptcy court discharge or the Fair Debt Collections Practices Act.
Answer Applies to: Ohio
Replied: 3/22/2011
Indianapolis Bankruptcy Law Office of Eric C. Lewis
Indianapolis Bankruptcy Law Office of Eric C. Lewis | Eric Lewis
Once the creditor is on notice, collection action must cease and if the discharged is granted by the bankruptcy court, the creditor is stayed from any further effort at collection action.
Answer Applies to: Indiana
Replied: 3/16/2011
The Doan Law Firm
The Doan Law Firm | Shawn Doan
They are prohibited from collecting by operation of the bankruptcy. You may need to retain a competent bankruptcy attorney such as Doan Law firm to represent you with this matter.
Answer Applies to: California
Replied: 3/15/2011
Mercado & Hartung, PLLC
Mercado & Hartung, PLLC | Christopher J. Mercado
That account should discharged in bankruptcy. Contact the attorney and notify them it was included in your bankruptcy. They may ask you to send in a copy of your discharge order.
Answer Applies to: Washington
Replied: 3/14/2011
The Law Office of Mark J. Markus
The Law Office of Mark J. Markus | Mark Markus
Was the "letter of suggestion" filed with the state court? If so, you probably don't need to do anything further. If not, you should file one with the superior (or whatever court the case was in) court. If the creditor takes any further steps to collect, you need to file a motion for violation of the automatic stay against them. You should also send the creditor's attorneys a copy of your case commencement notice, just to be safe.
Answer Applies to: California
Replied: 3/14/2011
    The Law offices of Cheryl L. Sommers
    The Law offices of Cheryl L. Sommers | Cheryl L. Sommers
    If the debt was included in your bankruptcy, they cannot collect until the bankruptcy is resolved if at all- and I assume it will be discharged in the bankruptcy. Send the lawyers a copy of the petition along with a letter just letting them know what case number, etc. on the civil court action. Sometimes these collection attorneys can be unscrupulous but at least they will have notice of the bankruptcy and are not allowed to take further action without a bankruptcy court's order. The good news is, the sheriff will not allow your wages to attach if they are aware that you are in bankruptcy. If Citi financial wants to, they can file an Adversary Proceeding to try to get around the bankruptcy discharge but they would have to show you tried to defraud Citi financial. A good example of that is when a creditor knows you have other assets not included on your schedules or that you pulled a large amount of cash out from a credit card and then filed bankruptcy.
    Answer Applies to: California
    Replied: 3/14/2011
    Law Offices of Michael J. Berger
    Law Offices of Michael J. Berger | Michael J. Berger
    The Automatic Stay stops your creditors from taking any action to collect against you. This includes garnisheeing your wages. Prepare and file a Notice of Automatic Stay in the Court in which Citi sued you, and provide a copy of said notice to your employer to stop the wage garnishment. If possible, it would be best for you to have expert bankruptcy counsel to assist you in this and any other matters that may arise in your bankruptcy case. Feel free to call me for a free consultation.
    Answer Applies to: California
    Replied: 3/14/2011
    Burnham & Associates
    Burnham & Associates | Stephanie K. Burnham
    Once a Chapter 7 Bankruptcy is filed, an automatic stay is put into place. This means that no creditor may attempt to collect a debt (Judgment or not) against the Debtor unless they file for Relief from the Automatic Stay. Ordinary unsecured creditors will not often have that option. However, until the Creditors are notified of the filing, they may attempt to collect unknowingly.
    Answer Applies to: New Hampshire
    Replied: 3/14/2011
    Janet A. Lawson Bankruptcy Attorney
    Janet A. Lawson Bankruptcy Attorney | Janet Lawson
    They can not collect after you file. Once you told the attorneys for the bank they should have ceased trying to collect. If they still are coming after you should see a lawyer.
    Answer Applies to: California
    Replied: 3/14/2011
    Law Office of David P. Farrell
    Law Office of David P. Farrell | David Farrell
    If the debt was discharged in your chapter 7 case, then the creditor is enjoined from collecting the debt. You should consult with an attorney like me to further discuss the matter.
    Answer Applies to: California
    Replied: 3/14/2011
    Carballo Law Offices
    Carballo Law Offices | Tony E. Carballo
    It sounds like what they are doing is informing the Superior Court that you filed a bankruptcy case. They are required to inform the Superior Court when there is a civil case pending and one of the parties files a bankruptcy case which halts the civil case. There are exceptions to debts that may not be discharged in bankruptcy and there is a procedure for someone to file a case against you in the bankrutpcy court called an adversary proceeding to have the bankruptcy court not discharge a particular debt because of fraud or other reason permitted under the Bankruptcy Code. Most likely now that the lawyers know of your bankruptcy filing they will notify the Sheriff not to garnish your wages. You can do the same by providing the Sheriff with documentation that you have filed for Chapter 7 bankruptcy.
    Answer Applies to: California
    Replied: 3/14/2011
    Diefer Law Group, P.C.
    Diefer Law Group, P.C. | Abel Fernandez
    Once you file for bankruptcy the debt is gone, you won't owe any money.
    Answer Applies to: California
    Replied: 3/14/2011
    The Law Office of Brian Nomi
    The Law Office of Brian Nomi | Brian H. Nomi
    The debt is not collectible. You need to give written confirmation of these facts to the creditor, and they will back off. Fax/letter is much better than saying it on the phone.
    Answer Applies to: California
    Replied: 3/14/2011
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