Who is the Bankruptcy Trustee?

Filed in archive Information About on July 23, 2010

© MargaretNapier

If you have been considering bankruptcy you have probably seen a lot of stuff regarding the bankruptcy trustee. So who exactly is this person?

Well in general the bankruptcy trustee is the one in charge. After all the lawyer is there to file the paperwork and go to court with you. He has no say in what goes on. For the most part in a bankruptcy hearing, the judge has little say in what happens as well. The person with all the say is the trustee.

There are different trustees for various regions of the country, primarily based on region size. The trustee is the one who has the ability to approve a bankruptcy or not. He can decide what you get to keep, what your payments will be, and so on. Your lawyer will basically present the trustee with a plan and the trustee will decide whether or not to sign off on it.

If you file Chapter 13, the trustee is who your payments will go to each month. From that point the trustee divides the amount due between your debtors and your legal cousel. The trustee also gets a portion of your payment.

Trustees have all the power when it comes to bankruptcy and unfortunately you have no choice about who your trustee is.