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Bankruptcy offers those in need the chance to get a fresh start by wiping out the debts they cannot pay. You have to give the Bankruptcy trustee and Bankruptcy court substantial information in order to take advantage of this "do over". Information you must provide includes not only who you owe money to but how much income you earn and what assets you have. Bankruptcy is governed by federal law and happens in court so "notice" is really important. Creditors, and anyone involved in a bankruptcy, must be informed that someone is asking that their debts be forgiven. If they aren't told that the debtor is seeking relief under bankruptcy law then they don't have an opportunity to present whatever claims they may have to the Court. The danger of not listing all your creditors and sending notice to them at their proper address, is that at the conclusion of the bankruptcy that debt may not be discharged. The trustee can claim some of the debtor's non-exempt assets such as savings or checking account funds or tax refund money. Assets paid to the trustee in chapter 13 cases are to be paid to the creditors. These non-exempt assets are payable by the trustee to the creditors listed on the bankruptcy. In order for a creditor to receive their fair share of these assets, they must be 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. So, you will still owe this debt; it will not be wiped out. To avoid this, make sure to list all your creditors, using their most recent address. Including addresses makes sure the creditors receive notice about your case. Chapter 7 cases generally don't have any non-exempt assets to distribute. There is no reason for a creditor to complain about not being listed in a "no asset" case. Since there are no funds to be distributed, the creditors wouldn't receive any money anyway. These types of cases are not a problem in Nebraska because the Bankruptcy Court will discharge the debt even if the creditor is not listed, 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. If you are facing garnishments, repossessions, foreclosure and bill collector’s telephone calls, then you know what being under the “financial-gun” is like. The problem will just get worse if you don't do anything. 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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