US Trustee vrs BK trustee

[jb4lcm]

Hey mod, in your statement "Afterall, the chapter 7 trustee does not want your case converted to a 13 because they don't get anything, thus, its the US trustee that looks at expenses."

Ok, I'm stupid (NEW) to the BK thing. WHO is THEY, and WHAT do THEY get? Besides the court filing fees, what else do THEY get?

JB

[StartingOver08]

The ch 7 Trustee makes $60 per case. That's it. UNLESS he can turn your case into an asset case, then they get a percentage of the sale of the assets. Each district has a different percentage - ours here in Fl is 10%. You can check your district for your percentage or ask your attorney.

The ch 13 Trustee is a different person from the Ch 7 Trustee. You can get a list of the Trustee's in your district.

The US Trustee manages all the Trustees. Go here for details: http://www.justice.gov/ust/

The filing fee does not go to the Trustee.

[bluejeans]

The ch 7 Trustee makes $60 per case. That's it. UNLESS he can turn your case into an asset case, then they get a percentage of the sale of the assets.

WOW!! At $60 per case they are making a killing-especially in my district! Then if they can uncover assets on top of that?? WOW again! I never knew this. I'm in the wrong business!

[HHM]

WOW!! At $60 per case they are making a killing-especially in my district! Then if they can uncover assets on top of that?? WOW again! I never knew this. I'm in the wrong business!

It may seem like it, but the time relative to the amount of money they get per case is generally not worth it unless they have a really slick system and already have an assistant that can help them. Many attorneys who become trustees use the trustee fees to cover their firm overhead and have their existing staff handle the trustee stuff.

[jb4lcm]

Let me see if I understand . . IF I have too much STUFF that is deemed "unnecessary" for a BK life - and is worth some money - in Chp 7 they make me sell the stuff it took me a lifetime to aquire and they get 10% of the proceeds and the rest goes to the creditor, leaving me a smoking pile of "WTF happened to my life as I knew it"? Is that about it?

JB

[HHM]

Let me see if I understand . . IF I have too much STUFF that is deemed "unnecessary" for a BK life - and is worth some money - in Chp 7 they make me sell the stuff it took me a lifetime to aquire and they get 10% of the proceeds and the rest goes to the creditor, leaving me a smoking pile of "WTF happened to my life as I knew it"? Is that about it?

JB

Not true

You really need to start reading the stickies to cover the basics. In 90% of cases, the debtor (you) lose NOTHING in a BK.

[GettingGoing]

Not true

You really need to start reading the stickies to cover the basics. In 90% of cases, the debtor (you) lose NOTHING in a BK.

So HHM, does the panel trustee even care about/look at expenses or is their sole job to[ deal with the assets of the debtor? At my 341 meeting the panel trustee didn't bring up anything except assets with anyone at all. The only talk of "expenses" was the trustee asked a few people(including myself) what transportation they used and i think this question was only asked by people that did not have any automobiles listed as assets.

[jb4lcm]

I've been reading your "stickies" and you said this about non-exempt assets:

If you have Non exempt assets, you have 5 choices.
1. Before you file BK, sell the asset and spend the money. (there are caveats to this option, you must sell the asset for quick-sale, Fair market value, and you need to spend the money reasonably, i.e. necessary living expenses).
2. Before you file BK, Borrow against the asset and spend the money. (same caveats as for option 1).
3. File Chapter 7 and surrender the asset
4. File Chapter 7 and redeem the asset from the trustee (i.e. buy the asset back from the trustee.)
5. File Chapter 13 and retain the asset.

I didn't see where you said I have a 90% chance of keeping this stuff.

In AZ, here's just a snippit of the "Exempt" list. Nothing in it about a boat, or quad, or musical instrument - unless used in business.


PERSONAL PROPERTY
husband and wife may double all personal property exemptions 2 beds and living room chair per person; 1 dresser, table, lamp, bedding per bed; kitchen table; dining room table and 4 chairs (1 more per person); living room carpet or rug; couch; 3 lamps; 3 coffee or end tables; pictures, paintings, drawings created by debtor; family portraits; refrigerator; stove; TV, radio or stereo; alarm clock; washer; dryer; vacuum cleaner to $4,000 total 33-1123
Bank deposit to $150 in one account 33-1126(A)(8)
Bible; bicycle; sewing machine; typewriter; burial plot; rifle, pistol or shotgun to $500 total 33-1125
Books to $250; clothing to $500; wedding and engagement rings to $1,000; watch to $100; pets, horses, milk cows and poultry to $500; musical instrument to $250; prostheses, including wheelchair
33-1125
Food and fuel to last 6 months 33-1124
Motor vehicle to $1,500 ($4,000, if disabled)



$1500 limit for my truck????
$500 for my shot gun, GLOC AND a burial plot????

WOW.

JB

[newbie2]

I've been reading your "stickies" and you said this about non-exempt assets:

If you have Non exempt assets, you have 5 choices.
1. Before you file BK, sell the asset and spend the money. (there are caveats to this option, you must sell the asset for quick-sale, Fair market value, and you need to spend the money reasonably, i.e. necessary living expenses).
2. Before you file BK, Borrow against the asset and spend the money. (same caveats as for option 1).
3. File Chapter 7 and surrender the asset
4. File Chapter 7 and redeem the asset from the trustee (i.e. buy the asset back from the trustee.)
5. File Chapter 13 and retain the asset.

I didn't see where you said I have a 90% chance of keeping this stuff.

In AZ, here's just a snippit of the "Exempt" list. Nothing in it about a boat, or quad, or musical instrument - unless used in business.


PERSONAL PROPERTY
husband and wife may double all personal property exemptions 2 beds and living room chair per person; 1 dresser, table, lamp, bedding per bed; kitchen table; dining room table and 4 chairs (1 more per person); living room carpet or rug; couch; 3 lamps; 3 coffee or end tables; pictures, paintings, drawings created by debtor; family portraits; refrigerator; stove; TV, radio or stereo; alarm clock; washer; dryer; vacuum cleaner to $4,000 total 33-1123
Bank deposit to $150 in one account 33-1126(A)(8)
Bible; bicycle; sewing machine; typewriter; burial plot; rifle, pistol or shotgun to $500 total 33-1125
Books to $250; clothing to $500; wedding and engagement rings to $1,000; watch to $100; pets, horses, milk cows and poultry to $500; musical instrument to $250; prostheses, including wheelchair
33-1125
Food and fuel to last 6 months 33-1124
Motor vehicle to $1,500 ($4,000, if disabled)



$1500 limit for my truck????
$500 for my shot gun, GLOC AND a burial plot????

WOW.

JB

If you have assets that exceed your states allowances you can buy them back from the trustee. (At fair value, not new retail value). 90% of people do not lose their belongings. However 90% of filers don't have the boat and the quad...

It sounds like you want to have your cake and eat it too. That doesn't take place when you voluntarily file for bankruptcy and ask the court to relieve you of your financial obligations.

[GettingGoing]

I've been reading your "stickies" and you said this about non-exempt assets:

If you have Non exempt assets, you have 5 choices.
1. Before you file BK, sell the asset and spend the money. (there are caveats to this option, you must sell the asset for quick-sale, Fair market value, and you need to spend the money reasonably, i.e. necessary living expenses).
2. Before you file BK, Borrow against the asset and spend the money. (same caveats as for option 1).
3. File Chapter 7 and surrender the asset
4. File Chapter 7 and redeem the asset from the trustee (i.e. buy the asset back from the trustee.)
5. File Chapter 13 and retain the asset.

I didn't see where you said I have a 90% chance of keeping this stuff.

In AZ, here's just a snippit of the "Exempt" list. Nothing in it about a boat, or quad, or musical instrument - unless used in business.


PERSONAL PROPERTY
husband and wife may double all personal property exemptions 2 beds and living room chair per person; 1 dresser, table, lamp, bedding per bed; kitchen table; dining room table and 4 chairs (1 more per person); living room carpet or rug; couch; 3 lamps; 3 coffee or end tables; pictures, paintings, drawings created by debtor; family portraits; refrigerator; stove; TV, radio or stereo; alarm clock; washer; dryer; vacuum cleaner to $4,000 total 33-1123
Bank deposit to $150 in one account 33-1126(A)(8)
Bible; bicycle; sewing machine; typewriter; burial plot; rifle, pistol or shotgun to $500 total 33-1125
Books to $250; clothing to $500; wedding and engagement rings to $1,000; watch to $100; pets, horses, milk cows and poultry to $500; musical instrument to $250; prostheses, including wheelchair
33-1125
Food and fuel to last 6 months 33-1124
Motor vehicle to $1,500 ($4,000, if disabled)



$1500 limit for my truck????

WOW.

JB

Those appear to be old exemptions.

Arizona Motor vehicle exemption amount:

May be doubled if married. Motor vehicle to $5,000 ($10,000, if debtor is physically disabled

[jb4lcm]

Hey Newbie2 . . . please don't be so judgemental. OF COURSE I want to keep my stuff!! Who the hell doesn't???? I am NOT filing for BK. I am researching BK. I am asking questions - which is the ONLY reason why this forum exists. I am LEARNING what this is all about as I have NEVER been in this position before in my life. It sounds to ME like YOU have spent too much time here and get a little pissy when people naturally respond to the possibility of losing their stuff in order to save their "LIFE". Many people's "LIVES" are greatly associated to their STUFF. So it is only natural for people visiting such a website to get their eyes slammed wide open over the realities of BK. You're just over it. I'm just beginning it. I like cake, and I want to eat cake. I am NOT a freeloading schmuck looking for a way to screw a creditor. I am a 52 year old 35% disabled man who invested everything he had into a startup business 5 years ago that is now suffering the ill effects of this economy - WHICH, by the way, was largely caused - in part - by the bank in question that received BILLIONs of BAILOUT money from MY taxes - of which I have paid well over $250,000 OVER THE LAST 10 YEARS - yet I have NOT seen one thin DIME of relief from, nor the willingness to even begin a conversation to discuss the problem. So chill out with the negative vibes.

JB

[Meatstick]

[jb4lcm]

A crack in every sidewalk, and a meathead in every forum.

[newbie2]

Hey Newbie2 . . . please don't be so judgemental. OF COURSE I want to keep my stuff!! Who the hell doesn't???? I am NOT filing for BK. I am researching BK. I am asking questions - which is the ONLY reason why this forum exists. I am LEARNING what this is all about as I have NEVER been in this position before in my life. It sounds to ME like YOU have spent too much time here and get a little pissy when people naturally respond to the possibility of losing their stuff in order to save their "LIFE". Many people's "LIVES" are greatly associated to their STUFF. So it is only natural for people visiting such a website to get their eyes slammed wide open over the realities of BK. You're just over it. I'm just beginning it. I like cake, and I want to eat cake. I am NOT a freeloading schmuck looking for a way to screw a creditor. I am a 52 year old 35% disabled man who invested everything he had into a startup business 5 years ago that is now suffering the ill effects of this economy - WHICH, by the way, was largely caused - in part - by the bank in question that received BILLIONs of BAILOUT money from MY taxes - of which I have paid well over $250,000 OVER THE LAST 10 YEARS - yet I have NOT seen one thin DIME of relief from, nor the willingness to even begin a conversation to discuss the problem. So chill out with the negative vibes.

JB

If I came across as judgmental I apologize. When I read your posts it appeared that you were wanting more than what was available to you and questioning why it couldn't be the way you want it.

Again, I apologize.

BTW, I'm not "over it". I am also your age, and have had the same issues that you are experiencing.

[jb4lcm]

Appology accepted. I will question pretty much everything when it is something I do not understand. That's how I learn. These are trying times. Some days I wish I never left my stressful corporate job to own my own biz. You are never your own boss it seems. Somebody else or something else is always dictating something else you gotta respond to or adhere to. Maybe I should start my own country . . . . clothing optional of course . . . .