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What Happens After Filing a Proof of Claim?

1 Min Read

After completing and filing a bankruptcy Proof of Claim, you should understand what happens after and what your next steps are. Do you?

It all started when you received a Notice of Bankruptcy (Form 309) in the mail. Your debtor filed for Chapter 11 bankruptcy and now you've filed a Proof of Claim form (Official Form 410) in order to recoup the debt that is owed to you. What happens after filing a proof of claim?

As a creditor in a Ch.11 bankruptcy case, here are your options of what to do next.

Option A: Wait...

Corporate bankruptcy cases are complicated and lengthy, easily taking years to resolve before courts consider whether to approve a payment distribution for creditor claims. Procedurally, creditor claims are categorized into claim classes. There is a court mandated order in which claims are paid out to their creditors, which is based on claim priority, class, and type—all of which are factors that can further delay the timing of payments to creditors.

Creditors have the option of waiting for the eventual recovery of the debt, or considering other methods. 

Option B: Sell

The decision to offer your bankruptcy claim for sale delivers more control over the timing and outcome of your claim. The road to faster debt recovery is in your hands, and not constrained by the timeline of the legal process and the deliberations of the bankruptcy court. 

We built our Bankruptcy Claims Marketplace to empower creditors like yourself with the singular goal of getting you paid, and fast.

Why Wait?

XCLAIM offers creditors the opportunity to recover money by selling a bankruptcy claim. Sign-up to join our online marketplace and connect with interested buyers today.

 

XCLAIM

Written by XCLAIM

The Marketing Team at XCLAIM writes content, develops resources, and distributes information across channels to propel the XCLAIM vision of revolutionizing the bankruptcy claims trading market and to usher in a transparent and digitally efficient future.

Benefits of XCLAIM

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Sell Claims Fast

Monetize Claim ownership in a few clicks

Maximize Recovery

Centralize access to Buyer competition

Automated Processes

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