I was asked an odd question today regarding mailing bank statements, or any correspondence, to our customers who have filed for bankruptcy. It was brought to my attention that Collections has removed all addresses from those customers' profiles. We understand that we can't collect on certain debts but I don't see how that negates our obligation to provide those customers their monthly statements timely.

Besides past-due notices or debt-collection correspondence, are we prohibited from mailing our customers any kind of correspondence? Surely this is a misunderstanding, or I'm missing some vital information!

Thank you!

If you have combined statements-deposit accounts and loans-and you continue to send them out in a consumer bankruptcy, that is where you can run into trouble. The statement could be showing an overdrawn checking account or past due loans with an inference to the consumer to "pay up" and that is where you run into issues with bankruptcy law. The sanctions that can be put on the bank and the individual banker by US Bankruptcy courts can be quite punitive.

Oh wow! I've since learned that this is how it's always been done...now I see why. Thank you!