Who Is The Bankruptcy Trustee

Who Is The Bankruptcy Trustee & What Do They Do?

If you have already or are thinking about filing for bankruptcy, you may have heard of a bankruptcy trustee. Many people don’t know or understand who a trustee is or what there purpose is in a bankruptcy.

The simplest answer, is a bankruptcy trustee manages your bankruptcy estate. Once you have filed for bankruptcy, the Court assumes control of your debts and property not protected by your Kentucky or Federal exemptions. A trustee is appointed to your case by the Court. The job of the trustee is to see that your creditors are paid as much as possible. This person will thoroughly review your paperwork, particularly the assets you have in your possession and the exemptions you wish to claim. The trustee can challenge any element of your case. Continue reading

Bankruptcy 341 Meeting

What Is A 341 Meeting Of Creditors In A Bankruptcy

A 341 Meeting of Creditors occurs approximately a month after you file for bankruptcy. At the meeting the trustee will call a first meeting of creditors, which the debtor must attend. This meeting is also referred to as the § 341 meeting, named after the corresponding section of the bankruptcy code.

Creditors rarely attend a Chapter 7 bankruptcy meeting. However, for a Chapter 13 bankruptcy, one or two creditors may attend, especially if there is some question regarding the plan. If there are objections they are typically resolved by negotiation between the debtor or the debtor’s counsel and the creditor. If a compromise cannot be reached, a judge will intervene. Continue reading