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If you're not able to pay your debts, bankruptcy gives you a chance to start over. In exchange for this monumental 'do-over' or fresh start, a person has to give a lot of information to the Bankruptcy Court and the Bankruptcy trustee, stating their income, their assets and of course the people and businesses they owe money to. The concept of "notice" is crucial in bankruptcy since it's handled in court and is governed by federal law. Creditors, and anyone involved in a bankruptcy, must be informed that someone is asking that their debts be forgiven. Creditors must be informed that someone is looking for debt relief in order to present claims to the court. If your creditors don't get proper notice sent to the proper address, you are in danger of not getting that particular debt discharged. In some chapter 7 cases, the debtor has non-exempt assets that the trustee claims, such as tax refunds or money in checking or savings accounts. Creditors are able to claim some assets in chapter 13 cases such as the money the trustee is paid. Creditors listed on the bankruptcy are entitled to their share of these non-exempt assets. The trustee is unable to pay a creditor their fair share of these assets if they are not listed on the bankruptcy. Even after a bankruptcy case is closed, a creditor not listed can make a successful claim for any debt you owe. So, you will still owe this debt; it will not be wiped out. To make sure this doesn't happen, be careful to list all your creditors and their addresses. This insures that they get proper notice of your bankruptcy case. There are typically no assets that are non-exempt to distribute in chapter 7 bankruptcy cases. A creditor who is not listed in a no-asset case has no reason to complain. The creditors in this case will not receive any money even if they were notified of the bankruptcy. In Nebraska it doesn't really matter if creditors are notified or not because the Bankruptcy Court will discharge the debt whether the creditor was listed or not as long as there are no assets to distribute. However, it's still a good idea to list all your creditors when filing bankruptcy because once they receive notice of your filing they will likely quit contacting you about your debt. You probably feel like you're under the "financial gun" if you are getting calls from creditors, are facing repossession, foreclosure or wage garnishments. The problem will just get worse if you don't do anything. However, if you start working with a qualified Omaha Bankruptcy Lawyer immediately, you can stop those calls and get your finances back on track. Get your life back by contacting an Omaha Bankruptcy Attorney today. Omaha Bankruptcy Attorneys Omaha Bankruptcy Lawyers Omaha Chapter
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