What Is a Bankruptcy Trustee?


Marietta, GA, Chapter 13 Bankruptcy Attorneys

In seeking information about bankruptcy, you may have run into the term “trustee” and have questions about who fills this role and what he or she does. Essentially, a bankruptcy trustee is an appointed representative of the U.S. government with duties centering on application of the law and representation of creditors’ interests.

It is fair to say that just as our attorneys work on your behalf, the bankruptcy trustee looks out for creditors’ interests in your bankruptcy case. The trustee’s actual duties and actions depend on whether you opt to file a Chapter 7 bankruptcy to “liquidate” debt or a Chapter 13 bankruptcy to reorganize it.

Limited Trustee Involvement in a Chapter 7 Case

So, while the answer to the question, “What is a bankruptcy trustee?” is straightforward, the question “How will I interact with the trustee?” may be more complex.

If you file Chapter 7, the trustee’s responsibility to liquidate certain assets and pay off creditors with proceeds usually does not come into play, because most filers do not have property they must forfeit. You will likely meet and deal with a Chapter 7 trustee once only, for a 341 meeting of creditors.

Trustees Approve and Oversee Chapter 13 Plans and Payments

In a Chapter 13 case, the trustee is responsible for approving your plan to pay all or portions of your debts over a three- to five-year period, and you are responsible for making monthly payments to the trustee once that plan is approved. The Chapter 13 bankruptcy trustee distributes payments equitably among creditors based on priority and may request information from you throughout the course of your case.

Working with the bankruptcy trustee appointed to your case should not be cause for concern if you are represented by a skilled Atlanta bankruptcy lawyer and are honest every step of the way. At The Slomka Law Firm, we are here to answer all your questions, and we want to help each client get badly needed stress relief as well as debt relief.

You can talk with us about trustees and other aspects of bankruptcy in a free consultation at a time that works for you. To put decades of focused Georgia bankruptcy experience on your side, call (678) 732-0001 or send us e-mail anytime.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.