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What is the proof of claim?

A proof of claim is a form used by the creditor to indicate the amount of the debt owed by the debtor on the date of the bankruptcy filing. The creditor must file the form with the clerk of the same bankruptcy court in which the bankruptcy case was filed.

Why is a proof of claim important?

A proof of claim is important for two reasons. First, it provides proof that the claim is valid and owed (hence the name proof of claim). Second, the proof of claim notifies the bankruptcy Trustee that the creditor wants to be paid through the bankruptcy payments in a Chapter 13 bankruptcy.

What happens if you dont file a proof of claim?

If a secured creditor fails to file proof of claim, then you will not make any payments toward what you owe on your house or car during your repayment plan. At the end of the bankruptcy process, to keep the collateral, you will still owe the full amount of these secured debts. Plus, you may owe interest and other fees.

What is proof of claim instructions?

Proof of claim: A form that shows the amount of debt the. debtor owed to a creditor on the date of the bankruptcy filing. The form must be filed in the district where the case is pending.

What is the purpose of a proof of claim?

A proof of claim is a form used by the creditor to indicate the amount of the debt owed by the debtor on the date of the bankruptcy filing. The creditor must file the form with the clerk of the same bankruptcy court in which the bankruptcy case was filed.

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