Notifying Creditors You Are Declaring Bankruptcy

Do I Have to Notify My Creditors I am Going Bankrupt?

When you’re drowning in debt and the phone won’t stop ringing with demands for payment, declaring bankruptcy can feel like the only way out. But what happens next? How do you go about notifying creditors you are declaring bankruptcy? This guide will take you through the process, step by step.

Beginning the Bankruptcy Process

The journey towards bankruptcy begins with a crucial document known as the bankruptcy paperwork. As soon as you sign this document, it is filed electronically with the Office of the Superintendent of Bankruptcy. This government body oversees all trustees and assigns a file number to your case. Your trustee needs this number to start the process of notifying your creditors.

The Role of the Trustee in Notifying Creditors

By law, your trustee must notify all your creditors within five days of your bankruptcy filing. They do this by sending out a “creditor’s package” to each known creditor. This package contains two main documents:


A Statement of Affairs: This document lists your assets, debts, monthly budget, and other related information.

A Proof of Claim form: Creditors use this form to file a claim with the trustee for the amount they are owed.

In the past, these packages would be sent via mail, but in today’s digital age, they are often sent via fax or electronically. This ensures a quicker delivery, helping to halt collection efforts as soon as possible.

The End of Collection Calls

Your primary goal in notifying creditors you are declaring bankruptcy is to stop the incessant calls from collection agencies. However, these calls won’t stop immediately. It usually takes creditors a week or two to process their claim. This time frame may extend further if collection agencies are involved.

The process typically works like this: the original creditor (such as the bank) first processes your claim. Then, they notify the external collection agency they have hired. Finally, the collection agency has to process the claim on their end as well. As a result, it is not unusual to continue receiving phone calls and letters for up to a month after filing for bankruptcy.

But don’t worry, the calls will eventually stop, and you can rest easy knowing you’ve taken steps to resolve your debt.


Notifying creditors you are declaring bankruptcy might seem overwhelming, but it doesn’t have to be. With the help of a trustee and a clear understanding of the process, you can navigate this challenging time and work towards a debt-free future. Remember, bankruptcy is not the end. Instead, it’s a new beginning, offering you a fresh start from the burdensome weight of debt.


Remember that filing bankruptcy is not a sign of failure but a legal tool to help you regain control over your financial situation. It’s the first step towards a debt-free future.

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