What To Expect At A Bankruptcy Hearing

What Exactly Is The Meeting Of Creditors

Within a fairly short time after a petition for Chapter 7 or Chapter 13 bankruptcy is filed, the bankruptcy court sends notice to the petitioner and all parties, including creditors, of the time and place for the;meeting of creditors.;The meeting is sometimes referred to as the 341 meeting, because it is required by Section 341 of the U.S. Bankruptcy Code.

While the process is called the meeting of creditors, the meeting is primarily a discussion about your case between you and the bankruptcy trustee, with your attorney present. Often, creditors do not even attend.

What To Expect At The Bankruptcy Meeting Of Creditors

At the meeting of creditorsalso called the 341 hearingthe debtor meets with the trustee appointed to oversee the case. The trustee will check identification and ask a series of questions about the bankruptcy paperwork. Creditors can attend and ask about financial matters as well, although few appear. Most 341 hearings last less than 10 minutes.

The Trustees Role in the Meeting of Creditors

The trustees job is to check your identity, review your paperwork for accuracy, and make sure that your creditors get paid as much as possible. For instance, in every case, the trustee will evaluate assets and property and check the accuracy of your reported income. The trustee will also try to find any unreported sources of income or property to pursue to get more money for your creditors. Finally, the trustee will look for signs of;bankruptcy fraud.; A Chapter 7 may purse claims of the Debtor on behalf of the Debtor to seek recovery for creditors.; The Chapter 13 Trustee however generally will not pursue claims on behalf of the Debtor making that the responsibility of the Debtor to litigate or fund such ventures.;

Preparing for the Meeting of Creditors

Before the meeting of creditors, youll want to review your bankruptcy petition carefully. If you find that youve missed something or see an inaccurate entry, you should:

• file an amendment before the hearing, if possible, or
• be prepared to bring the problem to the trustees attention at the hearing.

What to Bring to the Hearing

What Is The Purpose Of A 341 Hearing Or Meeting Of Creditors

When you file for Chapter 7 or Chapter 13 bankruptcy, the court will assign abankruptcy trustee to oversee the process. One of his or her first orders of business will be to call the 341 meeting. At this meeting, your creditors and lenders, their lawyers, and your trustee will be able to ask you questions about your financial situation. You will be under oath for the process, but your bankruptcy attorney will be able to attend as well.

Many of our clientsparticularly the ones who have had a rough time with collectorsare often afraid that the 341 hearing will degenerate into an adversarial interrogation. This is not the case. The purpose of the 341 hearing is for your creditors and the trustee to gather information. Our Jacksonville bankruptcy attorneys know how to protect our clients’ rights during 341 hearings. You will not beintimidated or harassed.

Recommended Reading: How Long Does Bankruptcy Show Up On Credit Report

What Can You Do If You Can’t Find A Licensed Insolvency Trustee

If you are unable to get an LIT to accept your file, or if you cannot afford to hire an LIT, the OSB’s Bankruptcy Assistance Program may be able to help, provided that you:

• have contacted at least two LITs and tried to obtain their services
• are not, and have not recently been, involved in commercial activities
• are not required to make surplus income payments; and
• are not in jail

A creditor is harassing me daily. What should I do?

Although the regulations differ slightly across Canada, there are limits on what creditors and collection agencies are allowed to do. For example, they cannot make telephone calls of such a nature or frequency that they amount to harassment of you or your family. In addition, there are certain times when they are not allowed to call.

Tips for dealing with collection agencies If you feel you are being harassed, contact either an LIT or a qualified and experienced credit counsellor. They can help you by serving as an intermediary between you and your creditor.

and we will send you some information and a list of LITs who participate in the program.

Typical Questions To Expect At The Meeting Of Creditors

The trustee will ask a series of routine questions that must be asked of every debtor. The trustee will then ask about any particular problems that arise in your case. Most bankruptcy attorneys can predict what the trustee will ask and explain the situation ahead of timeâto both you and the trustee.

Typical questions include:

• Did you review your bankruptcy petition and schedules before you filed them with the court?
• Is all of the information contained in your bankruptcy papers true and correct to the best of your knowledge?
• Did you disclose all of your assets?
• Did you list all of your creditors?
• Have you filed for bankruptcy before?
• Has anything changed since filing your bankruptcy?
• Are you required to pay any domestic support obligations such as alimony or child support?
• Have you filed all tax returns as they have come due?
• Have you made any payments to creditors exceeding $600 in aggregate in the last year?
• Does anyone owe you money for any reason?

One of the benefits of falling toward the bottom of the calendar is knowing what the trustee will ask. For more, see Questions to Expect at the Bankruptcy 341 Meeting of Creditors.

Recommended Reading: How Long Does Bankruptcy Stay On Record

Youll Need To Verify Your Identity

Every bankruptcy attorney and trustee has their stories about mistaken identities, and the issues that follow. Although the bankruptcy system is built on trust, it is also built on verification.;The trustee is required to verify your identity.

Bring photo identification, and a document showing your social security number such as your social security card, or a pay stub.

What Should I Expect From A Bankruptcy Hearing With Creditors

November 7, 2019 By Scott Allums

If youre facing bankruptcy, you probably dread your day in court. Appearing in court is a widespread concern, but rest assured: a bankruptcy hearing usually is nothing like the intense courthouse dramas you see on TV. The whole affair often is straightforward.

After filing your case, the Court will mail you a notice that contains the basic details, namely the time and location of your meeting of creditors . The Judge does not attend the meeting of creditors, and the bankruptcy trustee will preside over the hearing. Some bankruptcy courts have designated rooms for the meeting of creditors, and some courts use the actual courtroom. Before attending this hearing, I also think it is smart to be familiar with the location and know what parking options are available. Do you need to bring money for a parking meter, parking deck, or is parking free?

You will likely be required to go through security and a metal detector before entering the courthouse. You should check with your attorney to see what items are permitted inside the courthouse. You dont want to be asked to return items to your car and miss your court hearing.

Also Check: When Should You File For Chapter 7 Bankruptcy

Not A Test Or An Inquisition

Neither the trustee nor the creditors can take any action at the meeting that decides any question central to the case.; It is a fact finding meeting.

Of course, if new or troubling facts come out at the meeting, the trustee or a creditor can file a motion or an;adversary proceeding in the bankruptcy court for the judges consideration.

Most 341 meetings are short, sweet, and uneventful.; The debtor does not have to justify filing bankruptcy.; No rights are won or lost at the 341 meeting.

How Can A Las Vegas Bankruptcy Lawyer Help Me

An experienced attorney has years of experience helping bankruptcy clients like you. They offer professional and compassionate services with an eye to making your bankruptcy filing as easy as possible.

They want to help you have confidence in what happens in a bankruptcy proceeding. They work with you to reach the best possible result in your case. Finding the right bankruptcy attorney can ensure a smooth bankruptcy process.

Recommended Reading: How Many Bankruptcies Has Donald Trump

What Happens When You File For Bankruptcy

If bankruptcy is the option you choose, you will work with the LIT to complete the required forms. The LIT will then file these documents with the OSB and you will be formally declared bankrupt.

From that point on, the LIT will deal directly with your creditors on your behalf. Once you have been declared bankrupt

• you will stop making payments directly to your unsecured creditors
• any garnishments against your salary will stop; and
• any lawsuits against you by your creditors will also be stopped

Bankruptcy Court In Washington State

341 Hearing

After filing my Washington State bankruptcy, will I have to go to court? Yes. After your Washington bankruptcy petition is filed your 341 Hearing or “Meeting of Creditors” is scheduled. You must attend this hearing. Many of our bankruptcy clients are very nervous about having to go to court.

In reality, however, the overwhelming majority of bankruptcy court hearings are very brief and go very smoothly. This is why our attorneys spend so much time working with you in properly preparing your Bankruptcy Petition. If your petition is properly prepared and you have completely honest with us, then you have nothing to worry about.

Our bankruptcy lawyers successfully file hundreds of bankruptcy petitions every year. And, very few cases have any significant issues come up at their 341 Hearing. Our bankruptcy attorneys handle cases throughout Western Washington. Where your 341 Hearing will be held is determined by where you live.

You can find out where your bankruptcy Meeting of Creditors hearing will be held by visiting the Federal Bankruptcy Bourt’s informational page on where 341 hearings are held in Washington Washington. And, if you would like to know more about what formally happens at your bankruptcy court appearance, we recommend visiting the Western District of Washington’s FAQ page regarding 341 Hearings.

The Meeting of the CreditorsPort Orchard Town Square OfficeSouth King County Office – Tukwila

Read Also: Can You File Bankruptcy Without A Job

Avoid Stress In New Jersey Bankruptcy Court By Knowing What To Expect

Learn what to expect at your 341 bankruptcy hearing and how to complete the steps necessary to get to that point. Call our experienced Essex County, New Jersey, bankruptcy lawyers today for a free one-half hour consultation at . Our lawyers serve Essex, Union, Hudson, Passaic, Bergen, Morris, Middlesex, Sussex and other New Jersey counties.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.

What To Expect At Bankruptcy Court Hearing

Thinking What to expect at bankruptcy court hearing? Get a Free Bankruptcy Evaluation. Everything you need to know about bankruptcy , as well as other alternatives for managing your debt. Licensed bankruptcy attorneys are available. Attorneys will call you to discuss your case for free. Find out if bankruptcy is right for your situation.

Is Bankruptcy Right For You?

Also Check: Can An Employer Fire You For Filing Bankruptcy

A Couple Of Key Things To Keep In Mind Regarding Your 341 Phone Meeting:

• Dial the call-in number followed by the seven-digit passcode and # sign.
• Do not use a speaker phone.
• Make the call from a quiet area where background noise is minimal.
• Wait until the trustee calls your case before speaking, as more than one case will be held during the docket.
• Keep the phone muted until the trustee calls your case.
• Identify yourself when speaking during your case.
• Speak loudly so your voice can be heard on the recording.
• Do not place the phone on hold at any time.
• Once the meeting for your case is finished, please hang up.
• This is a new process for EVERYONE, show some patience.
• If I need to speak with you after your hearing, I will email and/or give you a call.
• You are not alone. As always, Your Kansas City Bankruptcy Attorneys, Malissa and Cassie are here for you!

Will Other People In The Courthouse Hear What Happens In My Meeting

There will be several other meetings of creditors scheduled at the same time as your meeting. Cases will be called one-by-one according to a schedule.

Whether others are present during your meeting depends on the location of your meeting. At some locations, no one else is present. At other locations, other people will be present. But most likely, they will not be paying much attention. They just want things to go quickly, so their case can be called and they can leave.

You May Like: How Long Does Bankruptcy Stay On Credit Report

You May Make Surplus Income Payments

When you file for bankruptcy, you must do the following:

• disclose to the LIT information about all of your assets and liabilities ;
• advise the LIT of any property that was sold or transferred in the past few years;
• surrender all your credit cards to the LIT;
• attend the first meeting of creditors ;
• attend two counselling sessions;
• advise the LIT in writing of any address changes;
• if required, attend an examination at the Office of the Superintendent of Bankruptcy; and
• assist the LIT as needed in administering your estate.

You may be required to make additional payments to your LIT for distribution to your creditors.

In addition to paying the LIT’s fees, you may be required to make additional payments to your LIT for distribution to your creditors. These are called surplus income payments.

Each month during the bankruptcy process, you must submit a copy of your pay stubs and proof of other income to the LIT. The LIT then calculates your surplus income.

Surplus income is the part of your earnings that exceeds the amount of income a family needs to maintain a reasonable standard of living. This amount is set by the OSB annually. The larger your family, the more you are allowed to keep; the more you earn, the more you are required to contribute.

In other words, if your household income exceeds the level set by the OSB, then you must make additional payments to your LIT during your bankruptcy.

What To Expect When Filing For Bankruptcy

Created by FindLaw’s team of legal writers and editors

What you can expect when filing for bankruptcy depends, in part, on what type of bankruptcy your company files. The first step is always to seek out a bankruptcy attorney. Your attorney will request that you complete some worksheets that he or she will use, along with the other information you have provided, to complete the bankruptcy petition and schedules.

When the schedules are complete, your attorney will have you review and sign them. Your attorney will then file the documents with the appropriate bankruptcy court. When the petition is filed, the automatic stay goes into effect immediately. That means that collection activities by your company’s creditors must stop. Follow along as FindLaw outlines the three bankruptcy chapters available to businesses.

You May Like: How To Declare Bankruptcy Without A Lawyer

What To Expect At The Chapter 7 Bankruptcy Meeting Of Creditors

Your bankruptcy has been filed and your bankruptcy hearing, called a Meeting of Creditors hearing, is quickly approaching. All your information is listed correctly, you have your drivers license and social security card ready, but you are still nervous about the hearing. Here is what you need to know to calm your nerves.

341 Hearing

The Meeting of Creditors hearing, also known as a 341 hearing, is typically the only court hearing in your bankruptcy proceedings. Your bankruptcy attorney will appear with you and most hearings last no longer than 10 minutes. The hearing will take place in a meeting room and not in a court room. Also, there will not be a Judge present; the hearing is ran by the Trustee.

Trustee

Your bankruptcy Trustee is not a judge but, typically, an attorney appointed to conduct a review of your bankruptcy. The Trustees job is to find out if there are any unexempt assets available to liquidate and pay your creditors. The Trustee will ask several questions to ensure that you and your attorney have listed all of your assets properly. Remember, you will be sworn in, so make sure that you answer all the questions honestly. Most of the questions the Trustee will ask have already been asked and answered in your bankruptcy paperwork.

Common Questions

Here is a list of common questions asked at a 341 hearing:

State your name for the record. Have you used any other names in the past 8 years?

Do you have your Social Security Card and Drivers license available?

Why Its Important Not To Ignore The Trustee

If the trustee needs something from you and you ignore them or otherwise refuse to cooperate with them, you can lose your discharge.

So, while youâre out enjoying your fresh start, having left your debts in the rearview mirror, make sure to open and read all mail you receive from your trustee and, if youâre not sure if theyâre asking you to do something, call their office.

Recommended Reading: How Bad Is A Bankruptcy On Your Credit

What To Expect At A Commercial Bankruptcy Meeting Of Creditors In Ny

Filing for bankruptcy protection could save your business. To ensure that your company comes through the process in the best possible position, it is crucial that you know what to expect. One of the most important aspects of commercial bankruptcy is the section 341 meeting of creditors.;

The bankruptcy 341 meeting is the point in the process during which the bankruptcy trustee and affected creditors can examine the debtor business. Here, our New York commercial bankruptcy lawyers highlight three things you should know about bankruptcy meeting of creditors.;

Bankruptcy Meeting of Creditors in New York: What to Expect and What to Know

• The accuracy and completeness of documents and records;

• The current and anticipated use of business assets/income; and

• The plans for the future of the business.;