A) Purpose of 341(a) Meeting - Soon after a bankruptcy case is filed, a meeting is held so that creditors and the trustee can ask questions about the debtor's financial situation.
The Court enters an order discharging individual Debtors after all requirements are met, but no sooner than the last day to object to the Debtor's Discharge. This is usually 60 days after the 1st setting of the 341 Meeting of Creditors unless a motion is filed with the court to extend that time.
Can You Spend Money After 341 Meeting? If your trustee abandoned all the assets during the 341 hearing, the money and income after the meeting is yours to spend. However, it is important to be sure about the outcome of your case before spending the money.
If you declare bankruptcy, will you lose literally every dollar that you have in your savings? The answer is no: some cash can be exempted in a Chapter 7 case. For example, typically under Federal exemptions, you can have approximately $20,000.00 cash on hand or in the bank on the day you file bankruptcy.
Bankruptcy petitioners who are employed can often get financing for a car loan after the Section 341 creditor hearing is over, but before their other debts have been discharged. Remember that collections on all your debts are put on hold while the bankruptcy proceedings are pending.
This meeting of creditors is a critical part of the bankruptcy process, and it's normal to feel some concern. Many people experience 341 meeting anxiety, worrying about what will happen, if creditors will attend, and whether they'll say the wrong thing. But don't worry—it's not as overwhelming as it might seem.
An individual cannot file under chapter 13 or any other chapter if, during the preceding 180 days, a prior bankruptcy petition was dismissed due to the debtor's willful failure to appear before the court or comply with orders of the court or was voluntarily dismissed after creditors sought relief from the bankruptcy ...
Trustees typically examine your financial transactions over the past two years. This review includes bank statements, credit card transactions, income records, and major financial activities.
Required at §341(a) Meeting of Creditors
Debtors will need to bring both picture ID and proof of social security number to the §341(a) Meeting of Creditors.
Failure to attend the Section 341 meeting without the prior agreement of the Chapter 13 Trustee or the Bankruptcy Administrator, as applicable, may result in the filing of a Motion to Dismiss the case by the Trustee or the Bankruptcy Administrator.
You can tell when a person is not prepared for a 341 Meeting. They cannot answer basic questions such as the value of their home or car and whether they reviewed and signed the bankruptcy forms. The bankruptcy trustee becomes frustrated because it is clear that the debtor has no clue what is going on.
Mandatory Settlement Conference (MSC) is governed by California Rule of Court 3.1380, and local court rules. At an MSC, parties meet with a neutral person, usually a judge, to clarify the issues and discuss the possibility of settling the case before trial.
Objections to discharge are rare but do happen!
It is essential to be aware that creditors can file an objection against your bankruptcy petition. These objections to your bankruptcy filing often involve an adversary proceeding. A bankruptcy trustee or a creditor can file an adversary proceeding.
Filing for Bankruptcy Can Prevent Repossession
If you file a Chapter 7, the automatic stay prevents your car from being repossessed.
Using a Cash Exemption in Chapter 7
Some state exemptions specifically cover an amount of cash, although they're often minimal. For instance, $300 is common. Other states have wildcard exemptions or general property exemptions that you can use to protect any property up to a specific dollar limit, including cash.
Yes, but it isn't always possible because you'll need to meet the following requirements to keep your house in Chapter 7 bankruptcy: current mortgage payments so the lender can't foreclose on the home. the ability to protect your home equity with bankruptcy exemptions, and.
Under Federal Rules of Bankruptcy Procedure Rule 4004, a trustee or creditors have sixty (60) days after the first date set for the 341(a) Meeting of Creditors to file a complaint objecting to discharge.
During this meeting, you must answer questions posed by the trustee to confirm your identity and financial disclosures. Now, in most consumer cases, creditors don't attend the 341 meeting, even though it's called the meeting of creditors. In probably 95, if not 98% of cases, no creditors actually attend.
After your 341 meeting, you're in the final stages of your Chapter 7 bankruptcy case. The court will typically grant your discharge 60–90 days later, wiping out most or all of your eligible debts and giving you a fresh financial start.
Can You Spend Money After Your 341 Meeting? Yes. Any money that you make after you file is yours to keep and spend as you like. This is because it isn't considered part of the bankruptcy estate.
Just like a Chapter 7, with a Chapter 13 bankruptcy, you also need the approval of the trustee to sell your car. Depending on the local bankruptcy rules in your district, you may also need court approval. But, as long as the trustee agrees, this usually won't be an issue.