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

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

What is the “Wild Card Bankruptcy Exemption”?

What is the “Wild Card Bankruptcy Exemption”?

There are a lot of terms that arise when you’re considering bankruptcy. It’s important to understand what each thing means...
Read More
Will Filing for Bankruptcy Help You Remove a Court Ordered Judgment?

Will Filing for Bankruptcy Help You Remove a Court Ordered Judgment?

A court ordered judgment against you related to debt can wreak havoc on your life, but it might be possible...
Read More
Understanding Credit: What Factors Affect Your Score

Understanding Credit: What Factors Affect Your Score

Dealing with financial problems can be one of the most difficult challenges you’ll ever face. Not only is it overwhelming,...
Read More
Health Issues Drove Me to Bankruptcy and I’m Still Getting Medical Bills: Can Bankruptcy Help?

Health Issues Drove Me to Bankruptcy and I’m Still Getting Medical Bills: Can Bankruptcy Help?

Medical issues are one of the most common reasons people file for bankruptcy. In most cases, health emergencies arise unexpectedly...
Read More
Is Filing for Chapter 7 Bankruptcy a Bad Idea?

Is Filing for Chapter 7 Bankruptcy a Bad Idea?

If you’ve been dealing with financial challenges for an extended period of time, chances are you’ve considered bankruptcy. Most people...
Read More
Can Bankruptcy Raise Your Credit Score? You Bet!

Can Bankruptcy Raise Your Credit Score? You Bet!

One of the primary concerns people have when filing for bankruptcy is whether or not doing so will affect their...
Read More
Can Filing for Bankruptcy Affect Your Social Security Benefits?

Can Filing for Bankruptcy Affect Your Social Security Benefits?

Many people rely on social security benefits to pay their bills. Unfortunately, it can be difficult to make ends meet,...
Read More
What to Do If a Creditor Tries to Collect after Your Bankruptcy Case Closes

What to Do If a Creditor Tries to Collect after Your Bankruptcy Case Closes

Bankruptcy is one of the best options available if you’re experiencing serious financial struggles. It can provide you with relief...
Read More
How Bankruptcy Can Help You If You are Facing Foreclosure

How Bankruptcy Can Help You If You are Facing Foreclosure

Owning a home is part of the American dream and losing that home through foreclosure is a nightmare. Mortgage foreclosure...
Read More
How Can Undue Hardship Help You in Bankruptcy If You’re Dealing with Student Loan Debt?

How Can Undue Hardship Help You in Bankruptcy If You’re Dealing with Student Loan Debt?

Despite millions of Americans struggling with student loan debt and a good deal of them defaulting on or at risk...
Read More

Contact Us

Search Website

Archive

Request a FREE Consultation

For The Next 5 Days Get A Free Book About Bankruptcy


 
comodo 10.0Robert Marc Geller
Robert Marc GellerClients’ ChoiceAward 2017 Robert Marc GellerReviewsout of 32 reviews LEA

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

Pay Online    

Office Locations

$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
Maps & Directions


Tampa Law Office Map

Satellite 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
Maps & Directions


Map and 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.