If you’ve been considering filing for Chapter 7 bankruptcy or Chapter 13 bankruptcy in Arizona, it’s imperative that you understand the ins and outs of the process. The majority of people have never heard of a 341 meeting of creditors, let alone know what such a meeting entails. Because this information is so vital, we’ve taken it upon ourselves to draft an overview of what a 341 meeting of creditors is, how it works, and how it can affect your case.
What is a 341 Meeting of Creditors?
When an individual, partnership, or corporation makes the determination that they must file for Chapter 7 bankruptcy, a bankruptcy trustee will be selected from a panel to handle the case. The job of the trustee is to maximize the total value of the assets that creditors are seeking. The trustee will also handle the investigation of any fraud or transfer issues. In fact, a trustee could even be viewed as the “prosecution” in your Chapter 7 bankruptcy case. As such, it’s important that you have a legal expert from Schill Law Group on your team to act as your defense.
During a 341 meeting of creditors, the trustee will have the opportunity to ask you questions pertaining to the case. While under oath, you and anyone else who may jointly be filing for Chapter 7 bankruptcy will be asked about the documents provided for the case and about any other issues that may have come to the attention of the trustee. Creditors may also elect to attend this meeting and will be allowed to ask questions of you as well. The purpose of the meeting is to ensure that all questions are answered quickly, properly, and accurately.
What Types of Questions Arise?
During a 341 meeting of creditors, the trustee assigned to your case and any creditors present may pose questions such as:
- Will you be receiving any money by inheritance in the near future?
- Do you currently hold any personal injury claims?
- Do you currently owe any child support or spousal maintenance monies?
- Have you thoroughly reviewed the documents filed for your case?
- Have you signed your bankruptcy documents?
- How long have you resided in the state of Arizona?
- Have you previously filed for bankruptcy, specifically within the last eight years?
- Were all of your creditors listed in your bankruptcy documents?
- Is all of the information listed in your documents true and accurate?
- Have all of your assets been listed in these documents?
What Else Should I Know?
Although a 341 meeting of creditors is usually very brief, often lasting only a few minutes, the process is very important. A 341 meeting of creditors is NOT a court hearing, but the session will be recorded, so it’s very important that all answers are provided as accurately and truthfully as possible. It’s best to have an attorney present who will make sure that nothing is said which could harm your case, as well as to ensure that your rights are protected and that the process goes smoothly. Even if your creditors don’t show up to the 341 meeting of creditors, they will still have a 60-day window in which to challenge your request for a discharge from your debts. A good attorney will see you through to the very end of the bankruptcy proceedings to make sure that all loose ends are tied up and you aren’t left with any questions or issues.