As a creditor, what are my rights if I suspect fraud

[denise_whitman]

I just got a letter about a friend who owes me money that I lent as a personal loan is filing bankruptcy.

I suspect that there is fraud for several reasons:
1) the address that was listed on the letter was not theirs (I know for a fact where they live and have proof)
2) I suspect that they are benefitting from a sell of a house that their family members owned. They sold the house and a few weeks later this person is now living in a luxury apartment. I have sworn financial statements from another case and it states that their only income is $850/mo from TANF and SNAP benefits and I know that they are still unemployed. How are they affording the rent and their other expenses on that income?

Who do I talk to about my evidence?

 

[adjusterjack]

I doubt if any of that rises to the level of fraud.

Who do I talk to about my evidence?

If the person has actually filed bankruptcy you talk to a bankruptcy lawyer who can make the proper filings in an attempt to get your debt non-dischargeable (slim chance).

You can check for the bankruptcy at https://www.pacer.gov/

If he has not filed bankruptcy, and he is in default, you sue him and, if you win, you attempt to collect. Depending on the amount of the debt you might be able to do that in small claims court without a lawyer.

 

[Taxing Matters]

I just got a letter about a friend who owes me money that I lent as a personal loan is filing bankruptcy.

I suspect that there is fraud for several reasons:
1) the address that was listed on the letter was not theirs (I know for a fact where they live and have proof)
2) I suspect that they are benefitting from a sell of a house that their family members owned. They sold the house and a few weeks later this person is now living in a luxury apartment. I have sworn financial statements from another case and it states that their only income is $850/mo from TANF and SNAP benefits and I know that they are still unemployed. How are they affording the rent and their other expenses on that income?

Who do I talk to about my evidence?

What you describe is not fraud against you. Fraud is where the friend would have knowingly given you false information to induce you to make a loan that you would not have made without that false information. You can tell the bankruptcy trustee about the friend living in a luxury apartment and see what impact that has on the bankruptcy, but I don't see that going very far unless the friend owns that apartment.