The Bankruptcy Court hearing can be stressful. I have had so many clients lose sleep over the bankruptcy hearing. I had a client write a blog about his experience at his Chapter 7 Bankruptcy Hearing. He wanted other clients to feel at ease at the bankruptcy meeting. His blog even includes the questions the bankruptcy trustee asked him at the hearing. The questions he tells about are the same for almost every bankruptcy hearing. The blog below is his experience with an Indiana Chapter 7 Bankruptcy Hearing.
I recently met with the bankruptcy trustee for my Chapter 7 filing. This was the bankruptcy hearing. My attorney told me that before COVID-19, these hearings used to be held in person at the federal courthouse. I found out that the hearings are mostly digital now. Although initially nervous and apprehensive, it wasn’t as bad as I had feared. The trustee was professional and courteous on the phone throughout the meeting, asking questions to ensure my information was accurate and complete.
Before the call, I found my bankruptcy notice. The bankruptcy notice had the call-in information that I needed. I dialed into the call. It lasted less than 15 minutes. My attorney dialed into the meeting as well. He even helped me understand some of the questions.
The bankruptcy meeting call went better than I imagined. The trustee introduced himself and then asked me to state my name. After that, he asked me a few questions about the petition I had signed, such as if I had reviewed it and read the bankruptcy information page before signing. He also wanted to know where I work and how I’m paid. Then I think he asked whether I receive bonuses or commissions besides my salary.
The trustee went on to ask me some more detailed questions. He asked if I had transferred any assets to anyone else in the four years before filing, what did I spend last year’s tax refund money on, and if I’d paid any family members or friends a lot of money before filing. He also asked if I had any lawsuits or legal claims from which I could recover money. After that, he asked if I anticipated receiving an inheritance within six months or have heard about one.
He went on to ask more questions about finances, but eventually, he changed to procedural stuff. It was there that he asked me if I understood the effect of signing a reaffirmation agreement. He also asked if I took the second class required for filing for bankruptcy.
After answering his questions satisfactorily, he asked me more specific questions about my assets and debts. He asked me how much equity I had in my home. He also asked about what kind of cars I own.
Overall, it was a productive meeting, and at the end of it, the trustee thanked me for my cooperation. Even though many questions were asked during the meeting, they were all straightforward. None of them seemed complicated or hard to understand. And now that it’s done, I’m looking forward to getting out of debt for good!
Thank you to Jerry for writing about your Bankruptcy Hearing experience. I think your blog will put many of my clients at ease about their hearing. For more information about Chapter 7 Bankruptcy, check out our Chapter 7 Bankruptcy Information.