How does the bankruptcy court notify all of my creditors that I filed bankruptcy?

The court mails a letter to each of your creditors advising them that you have filed bankruptcy.  envelope

(Some creditors are large enough or active enough in bankruptcy that they have directed the Bankruptcy Court to send them notices electronically.  These creditors receive an email from the court at 12:06 a.m. each morning).

The letter from the court advises creditors that you have filed bankruptcy, gives them your case number, gives them the contact information for your attorney, and other basic bankruptcy information.

The court mails out this letter using the Bankruptcy Noticing Center (“BNC”), which is a mailing facility for all of the federal bankruptcy courts.  It is run by BAE Systems and located physically in in Herndon, Virginia.

The biggest problem debtors (people who filed bankruptcy) face with the letter system is that it takes some creditors a few days, or even weeks, to process the fact that you have filed bankruptcy.  In the mean time, it is a good idea to answer the phone when a creditor calls, give him the bankruptcy case number, and let him update his records quickly so that there are no more calls and no more collection efforts.

It is also very important to provide a full list of your creditors, including mailing addresses, to your attorney so that each of your creditors is listed and properly notified of the bankruptcy.


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