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Filing bankruptcy gives people the ability to start over by erasing their debts. 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. You must understand the concept of "notice" when dealing with bankruptcy since it is governed by federal law and takes place in court. Appropriate notice has to be given to creditors so that they are aware that an individual is asking for his debts to be wiped out. Creditors must be given the opportunity to present claims to the court when someone is looking for debt relief under bankruptcy law. You must list your creditors and send notice to their address or else your debt may not be discharged in the bankruptcy. Funds including tax returns, checking and savings accounts are considered non-exempt in some chapter 7 cases. Creditors are able to claim some assets in chapter 13 cases such as the money the trustee is paid. The creditors listed on the bankruptcy are paid their share of these non-exempt funds. The trustee is unable to pay a creditor their fair share of these assets if they are not listed on the bankruptcy. However, even if a creditor is left off of the bankruptcy list, they are still able to make a claim for what you owe. Just because they are not listed does not mean you don't have to pay. To make sure this doesn't happen, be careful to list all your creditors and their addresses. Including addresses makes sure the creditors receive notice about your case. Chapter 7 cases generally don't have any non-exempt assets to distribute. Creditors in a "no-asset" case who are not listed have no reason to complain. There is no money to distribute so even if they were listed, they wouldn't receive any money. In Nebraska, these types of cases are not as problematic. According to Nebraska's Bankruptcy Court, if no assets are available for distribution, the debt is discharged whether the creditor was notified or not. You still want to make sure you list all your creditors. Once a creditor knows that you filed bankruptcy, in most cases they stop contacting you regarding the debt. If you are looking into declaring bankruptcy, you are likely facing foreclosure, repossession or garnishments and you are probably being contacted constantly by bill collectors. Nothing will get better if you choose to do nothing. If you choose to work with a skilled Omaha Bankruptcy Lawyer, however, you can start to get some peace of mind and put an end to the aggravation. Get your life back by contacting an Omaha Bankruptcy Attorney today. Omaha Bankruptcy Attorneys Omaha Bankruptcy Lawyers Omaha Chapter
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