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What happens to my bills when I file bankruptcy?


In a chapter 7, once the petition is filed, the creditors will no longer send you statements because the automatic stay is in effect. You no longer send any payments to the creditors. If you reaffirm or redeem the creditor will make new payment arrangements with you. Any debts that are unsecured will be uncollectible by the creditors. The creditors write off the loss as a bad debt.