How to File a Bankruptcy Creditor Claim

Creditors of a person or business filing bankruptcy can file a redacted Proof of Claim form in order to attempt to collect a debt owed to you. The filing of a bankruptcy petition legally prevents you from thereafter contacting the debtor in order to collect your money. You are probably safe in preparing your own proof of claim, but if it is a complex transaction or if you want to file a motion for non-dischargeability of a debt, you would be wise to hire a lawyer to handle your case. In a “straight” bankruptcy, the debtor is seeking to avoid debts entirely. If the debtor is seeking a reorganization, the debtor is willing to devise a plan to satisfy creditors by paying a part of his debt or by extending the existing terms of the agreement over a period of years (usually between 3 to 5 years).

Difficulty:

Moderately Challenging

Instructions

Things You'll Need

• Creditor claim form
• Adversary proceeding filing fees, if applicable
• Attorney’s fees, if applicable
• Court costs, if any

1. Have a valid, enforceable debt owed to you by the bankruptcy debtor. If the debtor has sent you a notice of his filing of a bankruptcy petition, the case number and title will appear on the form. Cease all attempts to collect the debt from the debtor in order to comply with the automatic stay provisions of the bankruptcy code.

2. Obtain a creditor claim form, debtor’s case number and the case title of the debtor’s case by calling the bankruptcy court, if necessary. If you have been listed as a creditor in the bankruptcy filing, you normally automatically receive a proof of claim from the bankruptcy court.

3. Complete the creditor’s claim form within the appropriate filing deadline. Information that must be completed on the form is your name, address, telephone number, amount of the claim, basis for the claim, last four digits of the your identifying information for the debtor, information about and value of the security (e.g., real property or personal or business property subject to a lien), case number and title of the action, signature by an authorized party for the creditor and the priority status of your claim. Attach copies of any invoices, bills or any other proof of your claim.

4. Photocopy and mail the creditor’s claim form to the appropriate bankruptcy court. Send two copies to the court along with a self-addressed, stamped envelope for return of a filed copy of your claim.

5. Attend the debtor’s meeting of creditors, if the size of the debt merits doing so. At this hearing you will be able to question the debtor under oath about the debt, and his assets and expenses.

Tips & Warnings

• You should not contact the debtor after receiving notice of the debtor’s bankruptcy filing. Violation of the automatic stay can land you in jail.