Schedule E/F: Creditors Who Have Unsecured Claims (Official Form 106E/F) \
The people or organizations to whom you owe money are called your creditors. A claim is a creditor’s right to payment. When you file for bankruptcy, the court needs to know who all your creditors are and what types of claims they have against you.
Typically in bankruptcy cases, there are more debts than assets to pay those debts. The court must know as much as possible about your creditors to make sure that their claims are properly treated according to the rules.
Use Schedule E/F: Creditors Who Have Unsecured Claims (Official Form 106E/F) to identify everyone who has an unsecured claim against you when you file your bankruptcy petition, unless you have already listed them on Schedule D: Creditors Who Have Claims Secured by Your Property (Official Form 106D).
Creditors may have different types of claims:
Secured claims. Report these on Schedule D: Creditors Who Have Claims Secured by Property (Official Form 106D).
Unsecured claims. Report these on Schedule E/F: Creditors Who Have Unsecured Claims (Official Form 106E/F).
If your debts are not paid, creditors with secured claims may be able to get paid from specific property in which that creditor has an interest, such as a mortgage or a lien. That property is sometimes called collateral for your debt and could include items such as your house, your car, or your furniture. Creditors with unsecured claims do not have rights against specific property.
Many creditors’ claims have a specific amount, which you do not dispute. However, some claims are uncertain when you file for bankruptcy, or they become due only after you file. You must list the claims of all your creditors in your schedules, even if the claims are contingent, unliquidated, or disputed.
Claims may be contingent, unliquidated, or disputed Claims may be:
Unliquidated claims, or
A claim is contingent if you are not obligated to pay it unless a particular event occurs after you file for bankruptcy. For example, if you cosigned someone else’s note, you may not have to pay unless that person later fails to repay the loan. A claim is unliquidated if the amount of the debt cannot be readily determined, such as by referring to an agreement or by a simple computation. An unliquidated claim is one for which there may be a definite liability but where the value has not been set. For instance, if you were involved in a car accident, the victim may have an unliquidated claim against you because the amount of damages has not been set.
A claim is disputed if you disagree about whether you owe the debt. For instance, if a bill collector demands payment for a bill you believe you already fully paid, you may describe the claim as disputed.
A single claim can have one, more than one, or none of these characteristics.
Creditors with unsecured claims do not have liens on or other security interests in your property. Secured creditors have a right to take property if you do not pay them. Common examples are lenders for your car, your home, or your furniture.
Do not leave out any unsecured creditors
List all unsecured creditors in each part of the form in alphabetical order as much as possible. Even if you plan to pay a creditor, you must list that creditor. When listing creditors who have unsecured claims, be sure to include all of them. For instance, include the following:
Your relatives or friends to whom you owe money;
Your ex-spouse, if you are still obligated under a divorce decree or settlement agreement to pay joint debts;
A credit card company, even if you intend to fully pay your credit card bill;
A lender, even if the loan is cosigned;
Anyone who has a loan or promissory note that you cosigned for someone else;
Anyone who has sued or may sue you because of an accident, dispute, or similar event that has occurred; or
Anyone who is trying to collect a debt from you such as a bill collector or attorney.
Unsecured claims could be priority or nonpriority claims
What are priority unsecured claims?
In bankruptcy cases, priority unsecured claims are those debts that the Bankruptcy Code requires to be paid before most other unsecured claims are paid. The most common priority unsecured claims are certain income tax debts and past due alimony or child support. Priority unsecured claims include those you owe for:
Domestic support obligations—If you owe domestic support to a spouse or former spouse; a child or the parent, legal guardian, or responsible relative of a child; or a governmental unit to whom such a domestic support claim has been assigned. 11 U.S.C. § 507(a)(1).
Taxes and certain other debts you owe the government—If you owe certain federal, state, or local government taxes, customs duties, or penalties. 11 U.S.C. § 507(a)(8).
Claims for death or personal injury that you caused while you were intoxicated—If you have a claim against you for death or personal injury that resulted from your unlawfully operating a motor vehicle or vessel while you were unlawfully intoxicated from alcohol, drugs, or another substance. This priority does not apply to claims for property damage. 11 U.S.C. § 507(a)(10).
Deposits by individuals—If you received money from someone for the purchase, lease, or rental of your property or the use of your services but you never delivered or performed. For the debt to have priority, the property or services must have been intended for personal, family, or household use (only the first $2,775* per person is a priority debt). 11 U.S.C. § 507(a)(7).
Wages, salaries, and commissions—If you owe wages, salaries, and commissions, including vacation, severance, and sick leave pay and those amounts were earned within 180 days before you filed your bankruptcy petition or ceased business. In either instance, only the first $12,475* per claim is a priority debt. 11 U.S.C. § 507(a)(4).
Contributions to employee benefit plans—If you owe contributions to an employee benefit plan for services an employee rendered within 180 days before you file your bankruptcy petition, or within 180 days before your business ends. Count only the first $12,475* per employee, less any amounts owed for wages, salaries, and commissions. 11 U.S.C. § 507(a)(5).
What are nonpriority unsecured claims?
Nonpriority unsecured claims are those debts that generally will be paid after priority unsecured claims are paid. The most common examples of nonpriority unsecured claims are credit card bills, medical bills, and educational loans.
What if a claim has both priority and nonpriority amounts? If a claim has both priority and nonpriority amounts, list that claim in Part 2 and show both priority and nonpriority amounts. Do not list it again in Part 3. In Part 3, list all of the creditors you have not listed before. You must list every creditor that you owe, regardless of the amount you owe and even if you plan to pay a particular debt. If you do not list a debt, it may not be discharged.
What is needed for statistical purposes?
For statistical reasons, the court must collect information about some specific categories of unsecured claims.
The categories for priority unsecured claims are:
Domestic support obligations
Taxes and certain other debts you owe the government
Claims for death or personal injury that you caused while you were intoxicated
The categories for nonpriority unsecured claims are:
Student loans—If you owe money for any loans that you used to pay for your education;
Obligations arising out of a separation agreement or divorce that you did not report as priority claims—If you owe debts for separation or divorce agreements or for domestic support and you did not report those debts in Part 2; and
Debts to pension or profit-sharing plans and other similar debts—If you owe money to a pension or profit-sharing plan.
The schedules to be used in cases of individual debtors are revised as part of the Forms Modernization Project, making them easier to read and, as a result, likely to generate more complete and accurate responses. The goals of the Forms Modernization Project include improving the interface between technology and the forms so as to increase efficiency and reduce the need to produce the same information in multiple formats. Therefore, many of the open-ended questions and multiple-part instructions have been replaced with more specific questions. The individual debtor schedules are also renumbered, starting with the number 106 and followed by the letter or name of the schedule to distinguish them from the versions to be used in non-individual cases.
Official Form 106E/F, Schedule E/F: Creditors Who Have Unsecured Claims, consolidates information about priority and nonpriority unsecured claims into a single form. It replaces Official Form 6E, Creditors Holding Unsecured Priority Claims, and Official Form 6F, Creditors Holding Unsecured Nonpriority Claims, in cases of individual debtors.
Although both priority and nonpriority unsecured claims are reported in Official Form 106E/F, the two types of claims are separately grouped so that the total for each type can be reported for case administration and statistical purposes. The form eliminates the question “consideration for claim” and instructs debtors to list claims in the alphabetical order of creditors as much as possible.
Part 1, List All of Your PRIORITY Unsecured Claims, includes four checkboxes for identifying the type of priority that applies to the claim: domestic support obligations; taxes and certain other debts owed to the government; claims for death or personal injury while intoxicated; and “other.” The first three categories are required to be separately reported for statistical purposes. If the debtor selects “other,” the debtor must specify the basis of the priority, e.g., wages or employee benefit plan contribution.
Part 2, List All of Your NONPRIORITY Unsecured Claims, contains four checkboxes, including three for types of claims that must be separately reported for statistical purposes: student loans; obligations arising out of a separation agreement or divorce not listed as priority claims; and debts to pension or profit-sharing plans and other similar debts. The remaining “other” checkbox treats claims not subject to separate reporting. If the debtor selects “other,” the debtor must specify the basis of the claim
Part 3, List Others to Be Notified About a Debt That You Already Listed, is new. The debtor is instructed to use Part 3 only if there is a need to give notice of the bankruptcy to someone other than a creditor listed in Parts 1 and 2. For example, if a collection agency is trying to collect for a creditor listed in Part 1, the collection agency would be listed in Part 3.
Finally, Part 4, Add the Amounts for Each Type of Unsecured Claim, requires the debtor to provide the total amounts of particular types of unsecured claims for statistical reporting purposes and the overall totals of the priority and nonpriority unsecured claims reported in this form.