Before you file for bankruptcy, you should discontinue all automatic bill pay orders you may have established with your bank account.
Because of online banking, many people have found the convenience of scheduled payments superior to the hassle of writing checks each month, but once you file for bankruptcy, there are risks to automatic payments.
First, the court’s automatic stay will force your creditors from auto-deducting funds anyway, although it may take a billing cycle for that to come into full effect.
Second, if your account is frozen and an auto deduction is requested by a creditor, the bill won’t be paid and you’ll likely incur a penalty from the bank.
Direct deposit of paychecks will likely still go through and land in your account, but if your account is frozen, you most likely won’t be able to access the deposited funds.
Frozen accounts don’t have to happen, and they don’t have to hurt your day-to-day activities if they do.
Call the Queens bankruptcy attorneys at Zelenitz, Shapiro & D’Agostino today at 718-599-1111 for a free consultation.