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If you're not able to pay your debts, bankruptcy gives you a chance to start over. It's necessary to provide a lot of information to the Bankruptcy Court in order to take advantage of this huge fresh start. Information you must provide includes not only who you owe money to but how much income you earn and what assets you have. Because bankruptcy is something that happens in Court and is governed by Federal law, the concept of 'Notice' is extremely important. 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 informed that someone is looking for debt relief in order to present claims 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. 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. Assets paid to the trustee in chapter 13 cases are to be paid to the creditors. 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. In cases where there are assets to be distributed, a creditor who was not listed will be able to successfully make a claim for that debt, even after your discharge. 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. 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. These cases are not problematic in the state of Nebraska. The Bankruptcy Court in Nebraska has held that even if a creditor was not listed, if there were no assets to distribute, the debt is still discharged. You should still let your creditors know about your bankruptcy because they will usually stop contacting you regarding money you owe. If you're constantly being contacted by bill collectors and are facing foreclosure, garnishment or repossession, you probably feel like you're under the "financial gun". The problem will just get worse if you don't do anything. The good news is that by working with an experienced Omaha Bankruptcy Lawyer, you can stop the aggravation and get back some of the peace of mind you’ve lost. Get in touch with a qualified Omaha Bankruptcy Attorney right away to get your case underway and get your life back.Omaha Bankruptcy Attorneys Omaha Bankruptcy Lawyers Omaha Chapter
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