Though it can be challenging, filing for bankruptcy can help you regain control of your finances. However, this process isn’t as simple as filing, having your debt forgiven, and moving on with your life. There are many different facets at play, so ensuring you understand the role of each element in your case is crucial. Something many are unfamiliar with prior to filing is the role of their bankruptcy trustee. If this reflects your circumstances, you’ll want to keep reading to learn what you must know and why you must connect with a Shelby County, TN bankruptcy attorney.
What Does a Bankruptcy Trustee Do?
When you file for bankruptcy with the courts, a trustee will be assigned to your case. They are appointed by the United States Trustee, which is a subsection of the Department of Justice, to oversee your case. This entity works closely with you and the court overseeing your case. The trustee cannot act without permission and authority from the judge.
Depending on the type of bankruptcy you file, their actions will vary slightly. Regardless, this entity must oversee your bankruptcy process to ensure it is legally valid. If you file for Chapter 7, the trustee is responsible for the management of your assets during the liquidation process. In Chapter 13, their primary responsibility is collecting your payments and ensuring you are fulfilling your financial obligations to the creditors as per your repayment plan.
It’s important to note that the trustee assigned to your case will have access to all your financial information. Additionally, if they notice suspicious activity and believe you are attempting to conceal assets, they are obligated to report you to the court. This can result in the dismissal of your case. If you fail to meet your legal obligations, they can ask the court to have your case dismissed.
If I Have a Trustee, Do I Need an Attorney?
Though it may seem like your appointed trustee will help oversee the process, it’s imperative to ensure you have an attorney. This is because the trustee is not there to provide legal advice or represent you in any issues that may arise. They are simply there to ensure the orders imposed by the court during your filing are met.
Working with an attorney is critical to recovering your finances when filing for bankruptcy. They can help determine which option is best for your needs, as well as which one you are eligible for. Additionally, this is a document-laden process, so they will ensure the necessary paperwork is filed correctly and on time.
At the Arnold Law Firm, we understand how complex these matters can be. That’s why we’re here to help you through every step of the bankruptcy process. Contact our team today to learn how we can assist you if you’re ready for a financial fresh start.