If you are filing bankruptcy, you can always tell your creditors. However, this does not ensure you can stop them from continuously calling and trying to collect a past-due debt. If you want to stop your creditors from harassing you for payment legally, you should file for bankruptcy and get your automatic stay. In fact, your creditors may want to pursue payment more aggressively if you tell them that you want to file, hoping to enforce payment before you get the automatic stay. Instead of telling your creditors, you should meet with a bankruptcy lawyer as soon as possible. You can find one at vohwinkellaw.com who can get your papers filed. Once filed, you will be granted an automatic stay and you don’t have to worry about intimidating calls from creditors. Keep in mind that depending on your goals, another method might work just as well or even better.
What Goals You Want to Achieve
Often, debtors tell their creditors about the intention to file for bankruptcy to let them know that they don’t have money and that it is not worth the effort to pursue them. However, you can also use this approach to work towards a lower debt settlement amount. Your specific situation and motives will help you determine whether or not to tell your creditors about your filing.
When You Only Want Creditors to Stop Contacting You
Threatening to file bankruptcy does not guarantee that they will stop calling you. But, if you want to accomplish this, you must use bankruptcy by filing a case. This is when an automatic stay goes into effect, prohibiting your creditors from trying to collect a debt. But, creditors know this can be difficult to predict what they will do. To safeguard your interests, you should hire an attorney. If you have a lawyer on your side and you tell your creditors of this fact, they will need to call your lawyer instead of you.
When Negotiating Down the Debt
You may try to negotiate an amount you can afford to pay as a last resort before you file bankruptcy. You should be upfront with creditors by telling them you would like to avoid filing for bankruptcy and that you need them to agree to accept a lesser amount. This approach may work effectively if your claim is true.
Keep in mind though that filing for bankruptcy may be the better course of action. It can help you avoid paying more than necessary.