Steps To Take If A Creditor Attempts To Collect After A Bankruptcy Discharge

One of the main reasons you filed bankruptcy is to stop harassment by your creditors.  You went through an intimidating process and dealt with an abundance of paperwork so you would have a fresh financial start and find relief.  Even after you have received a court-approved discharge on your debts, however, it is possible that some creditors and collection agencies will still make attempts to collect the debt from you.

If this happens, consult with your Minnesota bankruptcy attorney and follow these four steps to stop threats and harassment from creditors after your bankruptcy has been finalized.

Keep Track of all Your Bankruptcy Records

You can count on your Minnesota bankruptcy lawyer to retain copies of all your pertinent bankruptcy filings and paperwork.  The court will also keep this paperwork on file and you will be provided with copies for your records as well.  Store these records in a secure place, preferably a safe or safe deposit box.  It’s a good idea to scan them so you have a digital record as well as a paper one.  These records are what you need to prove that the debt in question has been discharged.

Document Any Attempts to Collect

If you are being contacted by creditors either at home or at work even though your debt has been discharged, keep a record of each of their attempts to contact you.  Write down the date, time of contact, the name of the company making the collection attempt and the representative’s name, phone number and email address.

When the creditor contacts you the first time, inform the representative that the debt has been discharged by the bankruptcy court.  Do not supply any further information pertaining to your bankruptcy, your financial status or your income . You should then refer them to your lawyer for information about your bankruptcy in Minnesota.

Inform Your Attorney

It is against the law for creditors to attempt to collect debts that the bankruptcy court has discharged.  Your bankruptcy attorney may decide to contact the creditor and supply proof that the debt in question has been discharged.  The attorney will also send a cease and desist letter that will serve as a reminder to the creditor that they are breaking the law when they continue to attempt to collect a debt that has been discharged.

You May Need to File A Motion in Court

If the creditor continues to persist in his collection efforts, it may be necessary to have your Minnesota bankruptcy lawyer file a motion against the offending creditor.  This motion will ask the court to move in your behalf and the creditor could, if found guilty, be ordered to pay a fine.

Bankruptcy is a legal way to get a fresh financial start and you have no legal obligation to pay any debt that has been discharged.  Speak to your bankruptcy attorney immediately if any of those creditors continue to pursue collection efforts.

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