Discharge Violations
One of the Best Discharge Violation Attorneys in Michigan
Financial Struggles After Bankruptcy Discharge?
Congratulations on Your Bankruptcy Discharge!
This is a significant achievement and an important step toward reclaiming your financial freedom. At Frego & Associates, we understand how meaningful this moment is, and we’re here to ensure that your fresh start remains just that—a fresh start.
However, the journey doesn’t always end with your bankruptcy discharge. Many people—nearly one in three—experience creditor harassment even after their bankruptcy is complete. This may include continued collection calls, incorrect reporting of discharged debts, or attempts to collect on debts that were eliminated through the bankruptcy process.
We believe that your bankruptcy discharge should be the end of your financial struggles, not the beginning of more stress. Our goal is to protect your rights and help ensure that creditors comply with the law, allowing you to move forward without further harassment.
If you’re facing creditor issues after your bankruptcy discharge, we’re here to help. Let us guide you through the steps to stop creditor violations and protect your fresh financial start. Get a free consultation today.
Types of Creditor Harassment After Bankruptcy
Here are some common examples of creditor harassment that can occur after your bankruptcy discharge:
Collection Calls and Threatening Messages:
Creditors may continue calling you in an attempt to collect on debts that were discharged in your bankruptcy. These calls often come with threats of legal action or aggressive tactics, even though they are no longer allowed to pursue these debts.
Letters and Notices:
Some creditors might send letters demanding payment for debts that should have been eliminated. These communications can be misleading and may cause confusion or stress, as they do not reflect your bankruptcy discharge.
Incorrect Reporting on Your Credit Report:
One of the most common forms of post-bankruptcy creditor harassment is inaccurate credit reporting. Creditors may fail to update your credit report to reflect that the debts were discharged in bankruptcy, leading to incorrect negative marks on your credit report. This can impact your ability to rebuild your credit and apply for new credit.
Attempting to Collect on Discharged Debts:
Some creditors may continue to pursue collection actions on debts that were wiped out during bankruptcy. This could include lawsuits, wage garnishments, or even attempts to garnish tax refunds. These actions are not only illegal, but they can cause significant financial harm.
Misleading or Fraudulent Activity:
In some extreme cases, creditors may attempt to engage in fraudulent activity, such as selling your discharged debt to third-party collection agencies or misrepresenting the debt’s status in an attempt to collect illegally.
Why This Happens
Despite the clear legal protections under the Bankruptcy Code, creditors may not always comply with the law for several reasons:
- Lack of Communication: Sometimes, creditors simply don’t update their records after your bankruptcy is filed or finalized. If they don't receive notice of the discharge or fail to properly update their systems, they may unknowingly continue collection efforts.
- Incompetence or Negligence: Some creditors or collection agencies may not be aware of bankruptcy protections or may not have a system in place to properly flag discharged debts, leading to continued collection actions.
- Willful Violation: In some cases, creditors may knowingly violate bankruptcy protections in an attempt to collect debts that they are no longer entitled to pursue.
Steps to Take if You're Experiencing Creditor Harassment
If you’re experiencing creditor harassment after your bankruptcy discharge, take immediate action to protect your rights. Follow these steps to ensure your bankruptcy discharge is respected and to stop illegal creditor actions:
The first step is to check your credit reports for any inaccurate or misleading information. Under federal law, you are entitled to one free credit report per year from each of the three major credit bureaus—Equifax, Experian, and TransUnion.
- Request Your Free Credit Report: Visit www.annualcreditreport.com, the official website authorized by the federal government for free credit reports.
- Choose One or All Three Bureaus: You can request reports from one bureau at a time or all three at once.
- Download Your Report: After submitting your request, download a PDF version of your credit report. This is important because a PDF copy will allow you to easily share the report with us.
2. Send the Credit Report to Us
Once you have your credit report, it’s time to send it to us for review. This will allow us to investigate any potential violations of your bankruptcy discharge and take appropriate action.
- Email the PDF(s): Send your credit report(s) (from one or all three bureaus) to [email protected].
- Include All Relevant Reports: You can send one, two, or all three of your credit reports. If you’ve noticed any incorrect listings or continuing collection attempts, be sure to send those reports to us as soon as possible for a thorough review.
3. Let Us Investigate and Protect Your Rights
Once we receive your credit reports, our team will carefully examine them to identify any signs of creditor violations. Here’s what we’ll do:
- Thorough Review: We will look for any debts that were discharged in your bankruptcy but are still being reported as owing. If a creditor is incorrectly reporting a debt, they are violating your rights under the Bankruptcy Code and potentially the Fair Credit Reporting Act (FCRA).
- Illegal Collection Activities: We’ll also investigate any ongoing collection efforts. If you’re still receiving collection calls, letters, emails, or text messages from creditors about debts that were discharged in bankruptcy, we’ll take action to stop them.
- Action Steps: If any creditor is found to be in violation, we can help you take legal steps to stop their actions and seek compensation for any damages caused by their harassment.
4. Contact Us Immediately if You’re Receiving Collection Communications
If you’re currently receiving collection calls, letters, texts, or emails from creditors, it’s important to contact us immediately. In some cases, these actions can be in direct violation of your bankruptcy discharge, and creditors who ignore the protections of your bankruptcy may be subject to penalties.
- Keep Records of Communications: Whenever possible, document any contact with creditors. Keep copies of letters, voicemails, and emails. If you’re receiving phone calls, note the date and time of each call and what was discussed.
- Provide Evidence: If you have any documentation of the creditor’s communications, please share these with us. The more information we have, the better we can help you stop the harassment and protect your rights.
Legal Recourse: You May Be Entitled to Damages
If a creditor has violated the automatic stay or continued collection efforts after your bankruptcy discharge, you may be entitled to damages. Under the Fair Debt Collection Practices Act (FDCPA) and Fair Credit Reporting Act (FCRA), you could receive compensation for:
- Emotional distress caused by the harassment.
- Financial damages if your credit or finances were harmed.
- Legal fees to cover the costs of taking action against the creditor.
In some cases, punitive damages may also be awarded if the creditor’s actions were particularly egregious or malicious.
Protecting Your Fresh Start
Creditors have a legal obligation to respect your bankruptcy discharge. If you’re dealing with post-bankruptcy harassment, take action to stop it and hold the responsible creditors accountable. Frego & Associates is here to help you enforce your rights, protect your fresh start, and ensure that you can move forward without the worry of creditor harassment.
Don’t let creditor harassment prevent you from enjoying the relief you deserve. Contact our bankruptcy lawyers in Michigan today to learn more about how we can help you stop illegal creditor actions and ensure your financial future remains on track.
At Frego & Associates, we understand how stressful creditor harassment after bankruptcy can be. You’ve worked hard for your fresh start, and we’re here to help you protect it. Our team is ready to stop illegal collection practices and ensure your rights are respected.
Contact us today to explore your legal options and make sure your bankruptcy discharge is honored. Let us help you move forward with confidence and peace of mind.
Received Accolades:
206-2010, 2012, 2014-2021
American Bankruptcy Institute
Certified as a Bankruptcy Specialist by ABC
National Association of Consumer Bankruptcy Attorneys
Better Business Bureau