People who have filed for bankruptcy, often mention the relief of not having to worry each time the mail arrives or an unknown number calls. Like a wrestler tapping the canvas to concede defeat, filing for bankruptcy ends the immediate battle and allows you to get your breath back and live to fight another day.

If your business is struggling to meet its debts, it can be hard to escape the noise of creditors. You may not be able to see them, but you know they are there. Filing for bankruptcy silences them.

If you use Chapter 7, you should not hear from your creditors again. If you take Chapter 11, your creditors do not disappear entirely, because they need to approve your repayment plan first and work with the trustee in your case, first. However, they cannot hassle you about repayments once you have filed.

The legal mechanism that stops your creditors from bothering you is called an automatic stay. It begins as soon as you file for bankruptcy and lasts until the court discharges your debts. Once your debts are discharged, you no longer have those creditors.

If a creditor does try to contact you about making repayments or seize property or assets, they could violate the automatic stay. If this violation does you harm, they may have to pay you damages. It is not just you that they may have to pay, but any other creditors. For example, if one creditor seizes a property, they are harming other creditors if that property should be sold and the money split between all those to whom you owe money.

If you file for bankruptcy for your business and a creditor contacts you, an attorney can put them in their place. If you’re overwhelmed with debt, bankruptcy may be the relief you need to move forward.