After filing bankruptcy, every Kentucky petitioner will have to attend the 341 meeting or the meeting of creditors. This meeting is a step that everyone must complete before their bankruptcy can move forward.
Understandably, a meeting of creditors might cause some petitioners to feel uneasy. After all, individuals file bankruptcy to find relief from the stress of debt—and perhaps even creditor harassment. There is often no reason to worry about this meeting, but here is a quick overview of some of the common questions asked during the meeting.
First, there are two essential things to know
Before discussing the common questions, there are two critical things that petitioners must understand about the 341 meeting:
- Even though it is called the meeting of creditors, creditors do not often participate. Most of the time, just the bankruptcy trustee is present to ask questions.
- Petitioners are under oath during this meeting. Therefore, they must ensure they answer every question honestly.
What are some common questions?
The majority of the meeting will be the trustee—and any creditors, if they attend—asking the petitioner questions. These questions often include:
- Are all creditors and assets listed in the petition? Most of the questions will ask the petitioner to confirm that all of the information in the petition is correct. Other questions like this might also verify one’s income, employment and tax filings.
- Have you made any payments to creditors recently? This question helps determine if there are any changes to the amount of debt a petitioner has, as well as if there is evidence of preference payments.
- Have you filed bankruptcy before? Trustees ask this question to ensure that petitioners wait the designated period before filing bankruptcy again.
- Are there any changes to report? These changes could include specific edits to the bankruptcy petition, or the individual’s financial situation. For example, petitioners should inform the trustee and creditors if they inherited money or other assets.
These are only some of the basic questions asked at the meeting of creditors. It is highly likely that there will be more questions that cover issues individual to each case as well. For example, trustees might ask questions regarding specific assets, such as one’s car or house.
However, there is usually not much that petitioners should worry about for the meeting of creditors, as long as they are prepared and honest in their filing and during the meeting.