“If you fail to please bankruptcy trustee, you’ll fail to discharge debts”
Be it chapter 7 bankruptcy or chapter 13, you can’t avoid meeting at least one person and that is Bankruptcy trustee. Whether you like it or not, he will test your financial health at different stages of bankruptcy. The is when you . He will analyze your financial situation and then decide what’s the best way to deal with it. The will come when you’ve to (also known as 341 hearing) wherein you’ll have to answer various questions regarding the information contained in your paperwork.
Questions trustee will throw at you before bankruptcy filing
- Do you happen to spend more than your income?
- Can you at least make minimum payments on credit cards?
- What kind of debts do you owe?
- How much assets do you have?
- Are you facing any legal actions from creditors?
- Are you receiving too many collection calls?
- Have you received any wage garnishment notice?
Questions trustee will surely ask you during 341 meeting
- Do you know what information is there in your bankruptcy paperwork?
- What is your name, present home address and cell phone number?
- Have you gone through your petition and schedule before signing the paperwork?
- Have you listed all your assets?
- Have you properly listed all your debts?
- Do you confirm that the information you’ve given in your paperwork is true?
- Have you listed all your creditors in the bankruptcy schedule?
- How did you evaluate the value of your assets?
- Are you filing bankruptcy for the first time?
- How much is your gross monthly income?
- Have you insured your home or your vehicle?
- Have you made any changes in your petition?
- Do you have to pay alimony or child support?
- Have you filed your due income tax returns? Did you enclose the requisite papers?
- Do you run any business or corporation?
- Have you transferred some of your assets to another person in the past 2 years? If yes, then what did you do with the money? Why did you transfer or sell your assets?
- Can you tell us about the last time you used your credit card to buy anything?
- Do you have any trustee, trustor or a beneficiary?
- When did you refinance your mortgage for the last time?
- Did you send payments to creditors whom you owe more than $600 in the last year?
- Did you go through through US Trustee’s Bankruptcy information sheet?
- When did you buy your home and at what price?
- What is the name and contact details of your boss?
- Do you have any kind of personal injury claim or any other claim against anyone?
- Will you receive financial windfall next year or in the next 6 months?
- Are you expecting to get life insurance proceeds soon?
- How much is the cash value of insurance policies you’ve bought?
- Why is your financial condition so bad?
- Did you meet any accident or have any property damage last year?
- Do you have any credit cards now?
- Are you doing any job?
- Does anyone owe you money and how much?
- Does anyone hold your property? What is the name of that person? What is the current market value of that property?
- How did you calculate the value of your business?
- What type of business did you have?
- Were you the sole owner of the business?
- When did you actually start your business?
Why does bankruptcy trustee throw so many questions?
Well, bankruptcy trustee does have a big role to play in bankruptcy. He has to check the authenticity of the information you’re sharing in your paperwork. Plus, he needs to verify if you’ve any property that could possibly benefit the bankruptcy estate. So, before you go to 341 meeting, the trustee reviews your documents, asks you various questions and checks items to find out if they’re going against the bankruptcy laws.
Always remember, bankruptcy trustee can throw questions that are not there in my list. The trustee can do so when he needs extra information about your business. . , the trustee may throw questions .