When filing for bankruptcy you may have heard about a Trustee who will be involved in your case. This refers to a person who is appointed to represent the collective interest of your creditors during your bankruptcy case. However, their job is a bit more complex and has some important aspects that are reflected in your case.
Mediating The Process
A Trustee is a licensed professional that is trained in the aspects of bankruptcy law. Although they are not a bankruptcy attorney, they do hold extensive training and experience. The Trustee is essentially a mediator between you and your creditors. Their job is to mediate the interactions of debtor and creditor, resolving any conflict and ensuring the case is handled according to the rules of the court.
In addition to being a mediator of interactions between you and the creditor, the Trustee’s job is also to assist you in completing necessary requirements of your case and even advise you in financial matters of a Chapter 13 plan. The Trustee can make payments to creditors on your behalf, inform the court of any changes to your financial situation and manage any assets that become relevant to a bankruptcy case. If assets are to be liquidated in Chapter 7 bankruptcy, the Trustee will take control of the items, sell and distribute the profits to the creditors as necessary.