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What is a Chapter 7 Trustee?

Once you file for Chapter 7 Bankruptcy, you will be assigned a trustee, who is required to examine your bankruptcy papers for fraud or abuse, and to recover as many assets as possible from you to pay back your creditors (in fact, a trustee is paid more for recovering more assets). If you have no assets, your Trustee probably won’t have a lot to do with your case, unless you are hiding something, in which case the Trustee may investigate further. If you have nonexempt assets, your Trustee is charged with recovering those from you, selling them, and using the proceeds to pay back your unsecured debts before the remainder is written off.