A filing for Chapter 7 or Chapter 13 Bankruptcy will stop all debt-related legal proceedings against a person. But only temporarily.
Upon the filing of a bankruptcy petition, the bankruptcy court will issue a ‘stay’ on all creditor actions, including foreclosures, evictions, repossessions and bill collector activity.
The delay or “stay” will remain in place until such time as the creditor receives relief from the Court, or when the debt is determined to be non-dischargeable (i.e. must be paid).
Thus, a Bankruptcy proceeding stops temporarily all debt-related legal activity until the Court has a chance to review the matter and implement a repayment plan or discharge the debts.
Details on the filing process can be found at Standard Legal’s Bankruptcy legal forms software page.