3 Facts To Help You Prepare For Your Chapter 7 Bankruptcy Hearing
Filing bankruptcy can be stressful and embarrassing, but adding a bankruptcy hearing to the mix can make many people even more nervous. If you are filing for bankruptcy or considering filing for bankruptcy, you may need to attend a formal hearing before your debts can be cleared. Check out these facts to help you prepare for your Chapter 7 bankruptcy hearing.
The Hearing Is More Casual Than Court Hearings
The bankruptcy hearing has many rules and regulations you must follow, but it is much less formal than a real court hearing. In most cases, you'll be given a time for your hearing, such as 9:00 a.m. However, your hearing may not start exactly at 9:00 -- in fact, several other bankruptcy applicants may also have a meeting at the same time. This simply means you need to be in the bankruptcy hearing room by 9:00 a.m. Once inside, you'll sit with the other people who have bankruptcy hearings scheduled for 9:00 a.m. You'll have to watch any hearings that take place before yours, but you can usually leave directly after your turn.
Your Attorney Will Help You Prepare for the Many Questions
During the hearing, you are simply asked a series of questions. Many of them may be standard, but some may be specific to your case. You are asked these questions by the trustee, and there is no judge, jury, or prosecuting attorney present. The questions are typically designed to ensure you are who you claim to be and you are being honest about your assets and debts. The questions and answers are recorded and added to your file. Your attorney will likely know most or all of the questions that will likely be asked because of their experience in handling bankruptcy claims. Together, you will craft honest and clear answers, so you are fully prepared.
Your Creditors Can Attend and Ask You Questions
One unpleasant aspect of the hearing is that your creditors can attend. In fact, this meeting is often also referred to as a "meeting of creditors". If they choose to do so, your creditors can attend and even ask questions regarding your loan and financial situation. Luckily, most creditors don't attend because it's likely a waste of time. You may have some creditors attend for larger items. For example, if you are choosing to keep a car after bankruptcy (and continue paying the monthly payment), the lender may attend to ensure you really plan on repaying the car loan.
Filing for bankruptcy can be overwhelming, and the fear of meeting with your creditors in a hearing can be even more stressful. Luckily, an attorney that specializes in bankruptcy litigation services can help prepare you for everything at your bankruptcy hearing. For more information, contact a bankruptcy attorney in your area today.