Ads
related to: what is a chapter 7 trustee- See If You Qualify (2025)
It only takes 2 minutes to see
if you qualify today!
- Don't File For Bankruptcy
Easily compare 2025's
top 5 bankruptcy alternatives.
- Credit Card Consolidation
Start paying down your credit debt.
Check debt relief eligibility.
- Check Your Eligibility
Check your eligibility to see
if you qualify for debt savings.
- Compare Relief Options
Compare available options to find
the best solution to your debt.
- Top 5 Companies Ranked
We reviewed the top 5 companies
so you don't have to!
- See If You Qualify (2025)
Search results
Results From The WOW.Com Content Network
Chapter 7 of Title 11 U.S. Code is the bankruptcy code that governs the process of liquidation under the bankruptcy laws of the U.S. In contrast to bankruptcy under Chapter 11 and Chapter 13, which govern the process of reorganization of a debtor, Chapter 7 bankruptcy is the most common form of bankruptcy in the U.S. [1]
In limited circumstances, the creditors involved in a bankruptcy case can elect a trustee. In a Chapter 7 Bankruptcy ("Liquidation") the trustee gathers the debtor's non-exempt property, managing the funds from the sale of those assets, and then paying expenses and distributing the balance to the owed creditors.
The Standing Trustees are responsible for the administration of all Chapter 13 cases filed in their judicial district. If for any reason all panel and/or standing trustees are disqualified or unable to perform, the U.S. Trustee may serve as trustee for a particular case under Chapter 7, 12 or 13. This very rarely happens.
Each United States Trustee, an officer of the U.S. Department of Justice, is responsible for maintaining and supervising a panel of private trustees for chapter 7 bankruptcy cases. [25] The Trustee has other duties including the administration of most bankruptcy cases and trustees. [26]
The impact of bankruptcy on a HELOC depends on the type of bankruptcy filing (Chapter 7 vs. Chapter 13). In both types of bankruptcy, staying current on HELOC payments is necessary to keep your home.
In Chapter 7, a debtor surrenders non-exempt property to a bankruptcy trustee, who then liquidates the property and distributes the proceeds to the debtor's unsecured creditors. In exchange, the debtor is entitled to a discharge of some debt.
Ad
related to: what is a chapter 7 trustee