New Jersey personal bankruptcy requires info disclosure

| Aug 1, 2013 | Personal Bankruptcy |

Many readers in New Jersey are aware that the filing of a bankruptcy requires disclosure of financial materials. In fact, in each personal bankruptcy that is filed, an individual must offer information as to their income, assets and debts. Unfortunately, one recent report notes that a large creditor, Citibank, may have inadvertently disclosed even more personal information than is necessary in many bankruptcy cases.

In a personal bankruptcy case in New Jersey, as with all other states across the nation, creditors can make claims in an attempt to obtain some repayment of the debts that they are owed. These claims are a common procedural requirement for creditors seeking repayment. However, the personal data of the individual who owes the debt is redacted so as not to be exposed.

In the recent case, Citibank failed to redact information such as birth dates and Social Security Numbers. This information was then made public. The creditor has settled a lawsuit related to the disclosure of personal information and now those affected can expect notification and a free year of credit monitoring.

The information disclosed by the person filing a personal bankruptcy in New Jersey and elsewhere is important to the effort to relief themselves from high amounts of debt that they may have accumulated. This is because debts that are not included in a personal bankruptcy may not be discharged or a part of a repayment plan. Such a filing can be a good choice for many people, though negligence like that of creditor Citibank can cause concern for some.

Source: The Wall Street Journal, “Citigroup Failed to Redact Personal Data from Consumer Bankruptcy Filings,” Kristin Jones, July 15, 2013