Schedule E – Creditors Holding Unsecured Priority Claims
INSTRUCTIONS : SCHEDULE E – CREDITORS HOLDING UNSECURED PRIORITY CLAIMS (Form B-6E)
• During the bankruptcy process, you will need to complete several forms documenting your assets and debts to the coordinating court system. One of these forms is Schedule E; on this particular form, you will list all of your unsecured creditors that have a distinct priority over your other creditors. In essence, these debts that you possess are of the unsecured variety, meaning they are not backed by some form of asset that would be seized as collateral if a foreclosure or default is present.
• When you list your preferred creditors, meaning those lenders who possess a distinct priority over the others, they will receive some of the proceeds from the sale of your assets, if there are any.
• There are numerous types of unsecured priority claims that you may owe; in general, this will include taxes, debts owed to governments, domestic support obligations, child support obligations, wages and salaries in the case of small business owners declaring bankruptcy and other debts. If you possess any of these debts you are required to complete Schedule E.
Filling out Schedule E:
• When filling out Form B-6E Schedule E, you must check the box of the type of priority claim you have. The majority of bankruptcy forms will provide specific examples and definitions for each type of debt listed.
• On the third page, after you have listed the credit types you possess, you must list the creditor’s name and address, as well as your coordinating account numbers. In the next two columns, you must list if a co-debtor is present in this respective relationship. Next, select if the debt is contingent, un-liquidated or disputed; contingent simply means that you owe the debt only if something happens first, such as a third party owes the funds and you are the co-signer of the debt. Un-liquidated debt means that you expect to have to pay the debt, but you do not know the amount of the debt.
• Following the input of this information, list the amount entitled to the priority and all amounts not entitled to priority. If you owe the creditor an amount but only a portion of that debt is a priority claim, list the difference in this section.