In Denver, Aurora and across Colorado, it is expensive to live on your own, and financial responsibilities can sometimes become burdensome and lead to excessive debt. One specific financial responsibility includes utility bills. If you have experienced debt as a result of not being able to pay a utility bill (including for water, gas, electricity), and you are considering bankruptcy, you may be worried your utilities will be shut off as a result of filing. Fortunately, bankruptcy law provides protection for you if you are filing bankruptcy and you have utility bill debt.
Littleton Bankruptcy Utility Bill Debt: Protection for Debtors
When filing a Chapter 7 or Chapter 13 bankruptcy in Littleton, know that a utility cannot “alter, refuse, or discontinue service to, or discriminate against, the trustee or the debtor solely on the basis of the commencement of a case under this title or that a debt owed by the debtor to such utility for service rendered before the order for relief was not paid when due.” In other words, you cannot have your utilities shut off, altered or refused simply because you are filing bankruptcy.
Utility Bill Debt in Centennial: Responsibilities of Debtor
There are requirements / responsibilities for you, however, if you are in debt as a result of your utility bills in Centennial and you file bankruptcy. When you file for a Chapter 7 or Chapter 13 bankruptcy, you must provide “adequate assurance of payment” to a utility company within 20 days after filing bankruptcy. Examples of an “adequate assurance of payment” include:
Letter of credit
Prepayment of Utility Consumption
To be sure you fully understand how a Chapter 7 or Chapter 13 bankruptcy works, and how your utility bill debt will be handled in bankruptcy, it is best to speak with a reputable bankruptcy lawyer. Your financial future is important, and you need someone who cares about your situation, who can walk you through the filing process and help ease your anxiety about your debt.
If you are experiencing excessive debt due to utility bill debt and think your utilities may be shut off as a result, call Denver Christian bankruptcy attorney Barry Arrington immediately. Call Barry today at 303-205-7870 to set up a free initial consultation.