WELCOME

CONTACT US

DO I HAVE TO GO TO COURT?

BANKRUPTCY BASICS

ATTORNEY'S BIOGRAPHY

Do I Have To Go To Court?

The short answer is generally no. In fact, for most clients, once your case is filed, you only have to attend what is called a 341 Meeting, or Meeting of Creditors. The meeting is typically held approximately 30 days after your bankruptcy petition has been filed with the court, and is usually held on a Friday.

What happens at this “meeting,” and will my attorney be with me?

Richard Ward personally attends every 341 Meeting with his clients. Just so you know, creditors rarely show up at the meeting due to the simple fact that they aware that most, if not all of your debts will be discharged (gone forever) in the bankruptcy.

The meeting consists primarily of the trustee (an attorney appointed as trustee) asking you a few brief questions about your bankruptcy petition and schedules. Although you will be placed” under oath, there is no judge and the meeting takes place sitting around a table; most of the trustee’s questions can be answered with a simple “yes” or “no”.

In fact, the overwhelming response we get from most clients after the meeting is how amazed they are at how easy the whole experience really is. While the trustee’s job is to find, on behalf of creditors, any assets of yours that are not exempt, as long as you have been honest when filling out all of your paperwork, your Section 341 Meeting of Creditors will go smoothly.

It’s usually a good day to celebrate, because at that point, most of your case is over. All that is usually left is to wait another 60 days to get the final decree and discharge from the court. Don’t forget to complete your second credit counseling session within 45 days of the meeting, otherwise your case could be dismissed by the Court.

What kinds of questions will the trustee ask me?

When the trustee calls your case, Rick and you will sit down at the table in front of the trustee, where you give him your Social Security card and driver’s license. At this point, he will “swear” you in by asking you “do you swear to tell the truth, the whole truth, and nothing but the truth?” He or she will then begin by asking some typical questions, such as:

• Did you read and sign the petition your lawyer prepared for you? Did you list all your assets and debts? Are there any changes you would like add to your petition?
• Has anything changed since you filed your bankruptcy petition?
• Did you receive the “Statement of Information” sheet from your attorney and did you read it? The “Statement of Information” is a one-page explanation of the various bankruptcy chapters, the effects of a bankruptcy discharge, and the effects of reaffirming a debt.
• The trustee will also confirm your “Statement of Intentions” with respect to your secured debt. That is, what property you own do you plan on keeping making payment on, for example your house, car, etc., or do you intend to surrender that property to the secured creditor? The trustee will usually ask if you are current on your payments for the property that you intend to keep.
• The trustee may also ask how you determined the value of your home (tax assessment value, appraisal, etc.).
• The trustee may ask you whether you expect to receive a tax refund, and if so, whether it will be different from the previous year.
• The trustee may likely ask you about any property that you have transferred or sold during the past two years. This information is required to be listed on your petition. The trustee’s main concern is whether or not you received fair market value for any property transferred or sold prior to your bankruptcy filing.
• He will then conclude the meeting by saying “I have no further questions.”
• That’s it! No, really, it isn’t much more complicated than that. Just be honest and truthful with your attorney and the information you give and the process is very simple and straightforward. After your 341 Meeting, the bankruptcy court will mail your discharge order and final decree within 60 to 90 days. The discharge order simply means that your case has officially closed and that all of your dischargeable debts are gone forever.