Yes. As soon as your case is filed, an automatic stay goes into effect and creditors are not allowed to contact you at all or continue with any legal proceedings they may have begun. They may not garnish your wages, repossess your vehicle, or foreclose on your home. Secured creditors however have the right to be protected against further loss and may file a motion with the court seeking a lift of the automatic stay so that they can continue with legal action. A Ch. 7 bankruptcy filing is effective to stop creditor harassment but will not protect you against a creditor taking appropriate action to protect the creditor’s secured interest in your property, although it may buy you some time.
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