Choosing to file Chapter 13 bankruptcy is a big event in life, but it could help you financially in so many ways. One of the steps required when filing under this branch is attending the confirmation hearing. This hearing is a normal step in the bankruptcy process, and here are a few things to understand about it.
When it takes place
When you file all the necessary documents for bankruptcy, you will likely have to attend a different hearing before you attend this one. The first hearing is called a meeting of creditors, and it is basically a meeting between you, your lawyer, and a bankruptcy trustee. This meeting allows the trustee to gather information about you, and it also gives your creditors a chance to object to your bankruptcy. The confirmation hearing is often scheduled a month or two after the meeting of the creditors, but this varies. It will be held at your local bankruptcy court, and your lawyer will make sure you know about it in advance, so that you can make sure you attend the meeting.
Who will be there
You can expect to see your lawyer and the trustee at the confirmation hearing, but you may also see that some of your creditors are there too. Any creditor you have has the right to attend this hearing if they want to object to the repayment plan you and your lawyer presented to the court. If they do not approve of it, they can let the trustee know this, and they can explain why they do not approve. Additionally, there is usually a judge present at this hearing, as he or she will be the person making any decisions related to creditor objections.
What it is for
The confirmation hearing is designed for several purposes. The first purpose is to allow your lawyer the opportunity to present and explain the repayment plan created uniquely for you. This plan will explain how much money you will pay the trustee, the frequency of the payments, and the amounts you are repaying to your creditors. The trustee and judge must approve the plan for it to take effect, and they will base this decision on the plan itself and any objections made by creditors.
If you plan on filing for Chapter 13 bankruptcy, you should plan to attend this meeting, as it is a requirement. If you have questions about bankruptcy or the hearings you must attend, talk to a bankruptcy lawyer today.