When an individual is struggling financially with seemingly nowhere left to turn, it may be time to start seriously thinking about bankruptcy. After an individual files for bankruptcy, they will have to go through a meeting of the creditors, which is also commonly referred to as a Section 341 meeting. Many people get nervous about the idea of having to sit down with their creditors but the debtor’s bankruptcy attorney should prepare them for what to expect.
The Section 341 meeting typically has the trustee from the bankruptcy court, the debtor and their bankruptcy attorney, as well as the creditors or lenders that decide to come to the meeting. This meeting really gives the debtors the opportunity to explain their situation to the lenders and the bankruptcy court. The debtor should be prepared to answer questions about the following matters:
- The accuracy of the documents and information that has been provided
- Why the individual has not been able to pay their debts
- Whether the individual has filed for bankruptcy in the past
- Monthly expenses and child support or spousal support obligations
Bankruptcy can allow an individual to have a fresh start with their finances. If you are struggling financially, it may be time to consult with an experienced bankruptcy attorney.
Juan C. Velasco, Esq. is a trusted attorney who concentrates on bankruptcy, family law, real estate, and estate matters who has been serving the New Jersey area for over 25 years. If you are in need of experienced legal counsel, please contact Velasco Law Office and we will be happy to assist you.