Filing for Chapter 7 bankruptcy will stop the harassment and can provide borrowers with relief from their financial worries. Upon the filing of the bankruptcy petition, a notice is automatically sent to creditors.  From that point forward, creditors must stop their phone calls and other forms of harassment.

Under Chapter 13 bankruptcy, people are permitted to keep their assets, which include their homes and vehicles.  A Chapter 13 will end a garnishment and stop a creditor from levying your account — even the IRS or the Franchise Tax Board.