What to Expect at Bankruptcy Court

bankruptcy paperwork under gavel

A bankruptcy hearing can sound like an intimidating appointment. However, with assistance from Utah’s bankruptcy experts at Rulon T. Burton, you don’t have to face court unprepared.

The meeting of creditors is often called a bankruptcy hearing, and it is normally held in an office building near the court. This meeting may take place in a conference room or may be conducted by video conference. 

How to Prepare for a Bankruptcy Hearing 

Rulon T. Burton and Associates specialize in Chapter 7 and Chapter 13 bankruptcies. Before a hearing, your legal representative will ensure you have at least the following in order: 

  • A list of all debts and assets 
  • Paystubs from the last seven months 
  • Tax returns for the past four years 

Our Utah lawyers who specialize in bankruptcy provide a worksheet to help guide you through the preparation for your filing and eventual hearing. 

Who Attends Bankruptcy Hearings? 

Bankruptcy hearings are public records, but the meetings are often rather intimate affairs. Those in attendance usually include the following: 

  • Debtor 
  • Trustee 
  • Attorney(s) 
  • Creditor(s) 
  • Bankruptcy Judge (But not the Meeting of Creditors) 

DEBTOR(S) 

The person who has filed for bankruptcy. 

TRUSTEE 

A lawyer that is assigned to assure in a Chapter 7 that creditors receive what they are entitled to. In a 13 the trustee is a lawyer who makes sure all the rules of Chapter 13 are complied with and disburses payments to creditors. 

ATTORNEY(S) 

The debtor’s legal representative should be in attendance at the bankruptcy hearing.

CREDITOR(S) 

Also in attendance at a bankruptcy hearing is any representative of an institution that has loaned money to the debtor. This may be a bank rep, business investor, or even a former spouse to whom money is owed. It’s not common for all creditors to send a representative, but there will most likely be some. 

BANKRUPTCY JUDGE 

A bankruptcy judge is a federally appointed judge who serves a 14-year term. There will not be one present at your initial bankruptcy hearing, but eventually one will make a decision regarding your bankruptcy case. 

What to Expect at Your Hearing 

Your legal representative will ensure you have all your paperwork ready before you even step foot into your hearing. Be advised that you’re under oath during your hearing, and if you attempt to hide any assets, your bankruptcy filing could be denied and you could face penalties such as jail time. 

Here’s a look at the process from the time you arrive at the courthouse with your attorney, to the time you conclude with the court trustee. 

  • Present your ID and bank statement paperwork to the trustee to prove the status of your accounts on the day you filed for bankruptcy. 
  • Stand before the trustee to be sworn in. 
  • Take a seat when instructed by the trustee. 
  • Answer questions from both the trustee and any creditors present at the hearing. ● Once questioning has concluded, you’ll wait outside with your attorney so the trustee can review your hearing. 

The whole process usually takes just a few minutes before you’re dismissed. However many times these hearings are conducted by video conference or by telephone. If that is the case then some of the above items are taken care of ahead of time. 

What Happens After a Bankruptcy Hearing 

Your hearing will determine how your debt will be handled, and what the process will be for either discharging or repaying the debt. Depending on whether you’ve filed Chapter 7 or Chapter 13 bankruptcy in Utah, the plan after your hearing may vary slightly. 

  • If the trustee needs additional information after your initial hearing, you may be required to attend another. 
  • Chapter 7 meeting of creditors will be followed by filing a debtor education certificate. ● Chapter 13 meeting of creditors will be followed by a repayment confirmation hearing.

Your creditors have up to 60 days following your meeting to object to any discharges proposed by the trustee. If there are no objections, after that waiting period you’ll receive your discharge if you filed a Chapter 7(which is a forgiveness of debt). Creditors also have deadlines to object to a Chapter 13, once that deadline has passed and the 13 is confirmed (approve), then you make payments for 3-5 years. 

What to Expect After Bankruptcy 

Once you’ve completed your filing, hearing, and have received your discharge, you can expect calls from creditors to cease. While you may still have repayments to make, they will be on the terms outlined in your bankruptcy case. Here’s what else you can expect after filing for bankruptcy: 

  • The bankruptcy will remain on your record for up to 10 years 
  • You take a financial management course 
  • You’ll forfeit credit cards involved in the bankruptcy 
  • You’ll retain your wages from this point on 

For more information regarding filing bankruptcy in Utah, contact the legal experts at Rulon T. Burton.

Ask Us Anything

    Download Worksheets

    Bankruptcy

    Divorce & Famly