Role of Trustee in Chapter 13 Bankruptcy

Chapter 13 and the Role of the Trustee

The trustee has the same responsibilities in a Chapter 13 bankruptcy as he or she does in Chapter7.  Because of the Chapter 13 payment plan related to the bankruptcy, the responsibilities are much more than in Chapter 7.  Chapter 13 bankruptcy is used by individuals with a regular source of income and can make regular payments.

The trustee oversees the plan of payment and administering that plan.  Whenever there is a hearing to modify or confirm a plan, the trustee must preside.  A trustee is involved in modification or change requests to a payment plan.  Also a trustee presides over any meeting regarding value of property that secures a loan.  Upon appproval of the plan, you will submit payments to the trustee, and then the trustee distributes the payments to creditors.

Why is it necessary to have the assistance of an attorney for a Chapter 13 Bankruptcy?

An experienced Phoenix Bankruptcy Attorney knows the trustees in Arizona.  In most cases, this is helpful because our attorneys know how a particular trustee conducts business and can take this into account when developing a strategy for your bankruptcy case.

The United States Bankruptcy Trustee appoints and also supervises the Arizona trustees. So that the United States Bankruptcy Court only have to deal with conflicts and disputes in bankruptcy cases, the trustees’ role is to take care of all the paperwork and to manage bankruptcies.

If you have questions about bankruptcy, Chapter 7 or Chapter 13, or about the role of the trustee, please call our office.  An attorney at our Phoenix Bankruptcy Lawyer firm will give you information, options, and help you to determine if an what kind of bankruptcy is best for your specific needs.

Our team of bankruptcy experts will help you every step through the bankruptcy process.  (602) 509-0955

Phoenix Bankruptcy Lawyers know the Arizona Bankruptcy Law, the Bankruptcy Process, and the Arizona Trustees

A hearing called a meeting of creditors takes place in a Chapter 7 and Chapter 13 bankruptcy.  In this meeting, the trustee is in charge.  What takes place at the meeting of creditors?  Referring to your case, the trustee reviews documents and may ask you questions they have about your bankruptcy.  At this hearing a trustee can determine whether to claim your filing was improper, or to decide to object to your discharge.

What is your relationship with the bankruptcy trustee? 

You should  cooperate with the trustee.  As the debtor, you cannot block the trustee’s work.  However, if the trustee makes a request that seems unreasonably difficult to comply with, or that would require you to spend a lot of money or time to comply with, you should have a discussion with your attorney.