Meeting of Creditors: Common Bankruptcy Trustee Questions

Most debtors want to know the types of questions the bankruptcy trustee will ask at the 341 creditors meeting. This article explains why you must attend the 341 meeting of creditors and the questions the trustee will likely ask at the Chapter 7 creditors meeting. You'll find a link to the official list of 341 meeting of creditors questions at the end of the article.

What Is the Purpose of the Meeting of Creditors?

Before you can receive a bankruptcy discharge wiping out qualifying debt, you must be examined under oath by a bankruptcy trustee at a hearing called the meeting of creditors or 341 hearing.

The trustee's job includes verifying your identity and examining your paperwork to ensure your responses are truthful. The primary purpose of the trustee involves locating property and assets and selling them for the benefit of creditors.

What Happens at the 341 Meeting of Creditors?

After the bankruptcy trustee reviews your identification, the trustee can ask questions about your bankruptcy papers and financial affairs while you are under oath. Creditors can also ask questions but rarely appear.

Usually, the trustee obtains all needed information in less than 10 minutes and concludes the creditors' meeting. The trustee will continue the meeting to another day if you forget your identification or if the trustee needs additional documents or more time for questioning.

Learn about similarities and differences between the Chapter 7 bankruptcy meeting of creditors and the Chapter 13 creditors meeting.

Will I Answer Questions at the 341 Meeting of Creditors?

Yes. The trustee will ask you simple questions to ensure everything in your bankruptcy petition is complete and accurate. The trustee is required to ask standard questions of each debtor but might also ask specific questions about your case.

What Will the Trustee Ask Me About at the Meeting of Creditors?

The trustee can ask you about anything related to your financial situation, and most questions will involve your debts, assets, income, expenses, and, importantly, prior transactions. The trustee will be looking for information that could increase recovery for your creditors. For instance, you'll likely be asked whether you gave away property or sold an asset for less than its actual value.

The trustee might ask about discrepencies between the information in your bankruptcy petition and your supporting documents, such as tax returns and paystubs. However, this type of questioning is rare. Your bankruptcy lawyer is responsible for maintaining consistency in your filing and ensuring such issues don't arise.

Common Bankruptcy Trustee Questions

The initial questions you'll be asked are predictable because trustees must ask about particular areas. The following are some of the most common trustee questions asked at the meeting of creditors:

• Did you review your bankruptcy petition and schedules before you filed them with the court?
• Is all the information in your bankruptcy papers true and correct to the best of your knowledge?
• Did you disclose all of your assets?
• Did you list all of your creditors?
• Have you filed for bankruptcy before?
• Has anything changed since filing your bankruptcy?
• Are you required to pay a domestic support obligation such as alimony or child support?
• Have you filed all tax returns as they have come due?
• Have you made payments to a creditor exceeding $600 in the last year?
• Have you transferred any property or given any security interests in the last two years?
• Have you used any credit cards in the last year?
• How did you calculate the value of your assets?
• Do you own an interest in a business or partnership?
• Are you the beneficiary, trustee, or trustor of a trust?
• When was the last time you refinanced your house?

Would you like to see the specific questions you'll be asked? Here's where you'll find the official 341 meeting of creditors questions.

What Other Questions Might the Trustee Ask at the 341 Hearing?

The trustee will ask about any unusual part of your bankruptcy case. Your bankruptcy lawyer will likely be able to predict specific questions the trustee might ask and, in many instances, resolve issues before the meeting.

Need More Bankruptcy Help?

Did you know Nolo has made the law accessible for over fifty years? It's true, and we want to ensure you find what you need. Below, you'll find more articles explaining how bankruptcy works. And don't forget that our bankruptcy homepage is the best place to start if you have other questions!

We wholeheartedly encourage research and learning, but online articles can't address all bankruptcy issues or the facts of your case. The best way to protect your assets in bankruptcy is by hiring a local bankruptcy lawyer.