September 15, 2023 Blog
Bankruptcy 101: FAQ
Important information pertaining to bankruptcies.
As a full service collection service, Finance System of Green Bay, Inc. responds to all bankruptcy notices received by our clients. We file proof of claims on all applicable accounts we deem collectible. If you or your current collection agency is not filing proof of claims, you are leaving money on the table. Let Finance System of Green Bay, Inc. be your bankruptcy resource to collect on the money rightfully owed to you. We have compiled a list of frequently asked questions and their answers. We hope this information will help you in your day to day collections.
Q: How many times can a person file bankruptcy?
Chapter 7: 8 years after a prior Chapter 7 or Chapter 11, 6 years after a prior Chapter 13 if less than 70% (and up to 100%) of claims were not paid in prior chapter 13, no waiting period if 100% of claims were paid, and still no waiting period if 70% of claims were paid AND the Chapter 13 plan was proposed in good faith and the debtor made their best effort.
Chapter 13: 2 years after a prior Chapter 13, 4 years after a prior Chapter 7
Q: Without a reaffirmation agreement between the creditor and petitioner, can I collect on any past due amounts included in the bankruptcy filing?
A: No, all accounts discharged in the bankruptcy are uncollectible. To bill or ask for any money would violate the bankruptcy order.
Discharge vs Dismissal
Discharge: The discharge order is issued by the court and permanently prohibits creditors from taking action to collect dischargeable debts against the debtor personally.
Dismissal: Upon dismissal of a bankruptcy, the “automatic stay” ends and creditors may start to collect debts.
Where can I find bankruptcy information?
PACER (Paid site)
URL: https://pacer.uscourts.gov/
$0.10 per page (maximum $3.00), $2.40 per audio file
McVCIS (Toll Free phone line)
1-866-222-8029
FYI: When searching for a bankruptcy, you will need to have the person’s first and last name, as well as their social security number and/or Tax ID
If you would like to discuss this article or any other collection needs you may have, please contact Jeff at 866-431-7220, or jeff@fsgbcollections.com
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