Bankruptcy creditors' proceedings: three types of creditors and their duty to negotiate in good faithThere are three types of bankruptcy creditors: secured, unsecured and priority. Secured bankruptcy creditors hold collateral for a debt, such as liens on personal or real property. A secured creditor may hold three types of liens:
- Consensual liens, such as a security agreement or UCC-I statement.
- Statutory liens, such as a mechanics lien or tax lien.
- Judicial lien, such as a judgment or garnishment.