CALL FOR A FREE
INITIAL CONSULTATION
813.254.5696

BRIDGING YOU TO A BRIGHTER FUTURE

What You Can Expect from the Bankruptcy Trustee During and After Bankruptcy

What You Can Expect from the Bankruptcy Trustee During and After Bankruptcy

When you file for bankruptcy a trustee is assigned to your case. This person is not there to help you. As a matter of fact, the trustee’s main responsibility is to take money and assets from you and pass it along to your creditors. The more money that is taken for creditors the more the trustee gets in payment.

What does this mean if you’re filing for bankruptcy?

Understanding the Role of the Bankruptcy Trustee

It’s important to understand the role the trustee plays because many people assume the trustee is someone on their side during the process.

What the trustee does and doesn’t do depends on the chapter bankruptcy you choose, but you should never assume this person is working for you. They are not.

If you have no assets and you file for bankruptcy, the trustee’s job is to review the paperwork and facilitate the meeting of creditors. This is the time when creditors can dispute your claims and fight for the money they are owed. It can be an intimating phase of your bankruptcy, but your attorney attends with you and for most people, it concludes without incident.

After the meeting, the trustee submits a report to the court and the case moves forward. Soon after, your debts are discharged and your Chapter 7 bankruptcy is complete.

You can learn more about the meeting of creditors in this explanation from The Balance.

On the other hand, if you file for bankruptcy and you do have assets, the trustee’s job is to recover as many of them as possible. Any asset that is not exempted in your bankruptcy can be taken by the trustee, which is why it’s so important to work with an attorney who understands how and what to exempt.

It’s important to keep in mind that this asset recovery performed by the trustee isn’t necessarily concluded once your debts are discharged. In some cases, trustees have months or years to recover assets.

And as much as you’d like to run in the opposite direction of the trustee, you’re legally obligated to cooperate, provided the trustee is acting within the letter of the law. You must turn over important documents and any funds the trustee requests, as long as it’s legally required.

Trustees are Paid Out of the Money Recovered from You

One of the most important things to remember, especially if you feel like a bankruptcy trustee is working on your behalf, is that trustees earn their money based on what they recover from you.

In addition to a small portion of your bankruptcy filing fee, a trustee’s commission is a percentage of what they are able to distribute to your creditors. This amount varies from case to case based on the amount they recover, but the bottom line is they are going to work hard and hustle to get as much as possible for your creditors because a significant chunk of that goes into their pocket.

If you have questions about bankruptcy trustees or you are concerned nobody will be in your corner defending your rights during your bankruptcy, we can help. Contact the Law Office of Robert M. Geller at 813.254.5696.

Tampa Bankruptcy Law Blog

Why Filing for Bankruptcy Can Be a Smart Decision

Bankruptcy can be a smart decision Everyone wants to be smart, right? They want to make the best choices and...
Read More
Will My Spending Be Monitored If I File for Bankruptcy?

Will My Spending Be Monitored If I File for Bankruptcy?

Bankruptcy and Spending Bankruptcy can offer many advantages, but it can also mean exposing your financial life to the world....
Read More

Buying a Home after Bankruptcy

Getting a Mortgage After Bankruptcy Many people assume buying a home after filing for bankruptcy is impossible. As a matter...
Read More

Bankruptcy Red Flags: How to Avoid Suspicion of Fraud When You File

Bankruptcy Fraud Red Flags Filing for bankruptcy is a complicated process. It’s possible to file on your own, but it...
Read More

Can Bankruptcy Help After a Creditor Has Filed a Lawsuit?

Bankruptcy Timing Timing in bankruptcy is very important. A bankruptcy attorney can help you determine the best time to file,...
Read More
Has Life Pushed You Into Bankruptcy? How to Make the Best of Your Situation

Has Life Pushed You Into Bankruptcy? How to Make the Best of Your Situation

How to make the best out of Bankrutpcy Some people find themselves in financial turmoil because of choices they’ve made....
Read More
Sneaky Ways Debt Collectors Try to Take Your Money after You File for Bankruptcy and How to Protect Yourself

Sneaky Ways Debt Collectors Try to Take Your Money after You File for Bankruptcy and How to Protect Yourself

Bankruptcy and Sneaky Debt Collectors Filing for bankruptcy triggers something known as the “automatic stay.” This is a legal term...
Read More
What is an Obligatory Debt and How Is It Affected by Bankruptcy?

What is an Obligatory Debt and How Is It Affected by Bankruptcy?

Obligatory Debts and Bankruptcy There are all different kinds of debts and all of them are affected differently when you...
Read More

Are You Too Old to File Bankruptcy? What Seniors Need to Know about Bankruptcy?

Filing for Bankruptcy in Old Age If you subscribe to the adage “you’re only as old as you feel,” chances...
Read More
How are Co-Signers Affected by Bankruptcy?

How are Co-Signers Affected by Bankruptcy?

Co-signers and Bankruptcy If you’re considering co-signing a loan for a friend or family member, or you have a loan...
Read More

Contact Us

Search Website

Archive

Request a FREE Consultation

For The Next 5 Days Get A Free Book About Bankruptcy


 
comodo10.0Robert Marc Geller
Robert Marc GellerClients’ ChoiceAward 2018Robert Marc GellerReviewsout of 32 reviewsLEA

We are A Debt Relief Agency.
We help people file for
bankruptcy under the Bankruptcy Code

Pay Online   Bankruptcy Courses   

Tampa Office

$Law Offices of Robert M. Geller, P.A.
807 West Azeele Street
Tampa, FL 33606
T: (813) 254-5696
T: (800) 853-7549
F: (813) 253-3405


Tampa Law Office Map

St. Petersburg Office

$Law Offices of Robert M. Geller, P.A.
125 5th Street South
(Wells Fargo Financial Center)
2nd Floor, Suite G

St. Petersburg, FL 33701
T: (727) 532-3939


Map and Directions

Pasco Office

23526 State Road 54
Lutz, FL 33559
T: (813) 336-2320





Maps & Directions

At the Tampa Bay law firm, the Law Offices of Robert M. Geller, P.A., we help people with consumer bankruptcy matters in the Tampa Bay-St. Petersburg,  Florida communities such as Clearwater,     St. Petersburg, Tampa, Thonotosassa, Riverview, Lutz, Plant City, Brandon, Carrollwood, Wesley Chapel, St. Petersburg Beach, Lakeland, Mulberry, Dade City, Pinellas Park, Largo, Seminole, Odessa, Oldsmar and Lithia, and counties such as Hillsborough County, Pinellas County, Pasco County, Polk County and Manatee County.