Congress finds millions disbursed each year to private creditors
To amend titles 11 and 28, United States Code, to modify the compensation payable to trustees serving in cases under chapter 7 of title 11, United States Code, to extend the term of certain temporary offices of bankruptcy judges, and for other purposes, section 2, Sec. 2.
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Congress finds millions disbursed each year to private creditors
The document says “should”Who acts: CongressHow: statuteSec. 2 in the PDF
What the document says
“Due to the work of the chapter 7 bankruptcy trustees, millions of dollars are also disbursed annually to private creditors of all types, including medical providers, unsecured creditors, small businesses, and micro-enterprises such as domestic support providers.”
The sixth finding. Congress states that the work of chapter 7 trustees also sends millions of dollars a year to private creditors, naming medical providers, unsecured creditors, small businesses and very small businesses such as domestic support providers.
What the document actually says
“Due to the work of the chapter 7 bankruptcy trustees, millions of dollars are also disbursed annually to private creditors of all types, including medical providers, unsecured creditors, small businesses, and micro-enterprises such as domestic support providers.”
That sentence, in plain words
Congress says millions of dollars go out each year. It goes to people and firms who are owed money.
What this is about
Doctors are one example. Small shops are another. So are people who care for others at home.
No action is recorded against this proposal. That is not evidence that none has been taken, and nobody has yet read it against the record. See what the tracker does not yet cover.
Bankruptcy Administration Improvement Act of 2025, Public Law 119-76, sec. 2, 140 Stat. 740 (2026). https://www.govinfo.gov/content/pkg/PLAW-119publ76/html/PLAW-119publ76.htm
This page
“Congress finds millions disbursed each year to private creditors,” Bankruptcy Administration Improvement Act of 2025, section 2, Sec. 2. Read the Mandate, https://readthemandate.org/bankruptcy-administration-improvement-act-2025/proposal/sec02-returns-to-private-creditors/ (retrieved October 10, 2026).
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