I filed for bankruptcy a few weeks ago. 341 meeting is April 28th. Question is I listed credit cards that I had thru the bank that I bank at. Now the bank cant freeze my bank account because I went bankrupt on the credit cards can they? They havent yet but they did close down my overdraft.
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They can sieze the funds from your account to settle credit card debt -
But I thought filing bankrupt puts an automatic stay on freezing an account and that. Plus i have like a whole $40 in the account.Comment
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Just look into joining a different bank....................The information provided is not, and should not be considered legal advice. All information provided is only informational and should be verified by a law practioner whenever possible. When confronted with legal issues contact an experienced attorney in your state who specializes in the area of law most directly called into question by your particular situation.Comment
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If the bank froze your account and held your money to secure payment on their credit card, they would be in serious violation of the Automatic Stay.
The cancelling of the Overdraft is nothing to worry about because an Overdraft account is technically a credit line, and while BK is pending, they are not allowed to offer or extend you credit and you are not allowed to use credit while the BK is pending.Comment
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they have not froze my accounts. I just received letters in the mail yesterday stating I could no longer use the credit cards or the overdraft line. I dont want to get a different bank. Been with the same bank for 20 years. I just want to make sure they cant take out my weekly paychecks that goes towards my living expenses.Comment
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you're fine...............carry onOriginally posted by tdoodersThe information provided is not, and should not be considered legal advice. All information provided is only informational and should be verified by a law practioner whenever possible. When confronted with legal issues contact an experienced attorney in your state who specializes in the area of law most directly called into question by your particular situation.Comment
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I was in the same boat...
I have banked with Bank of America for years, and had a B of A platinum card discharged on my BK. I was worried about it too, but nothing happened. I owed over 7 G on that card, and had a couple hundred bucks in my checking account w/direct deposit from both my job and my wife's. That was in 2003 and not only do we still have that checking account, but openned a savings account with them and I just openned a second checking account and they gave us a Platinum Visa check card (a couple more perks than our old gold Visa check card). Remember, your checking account is a totally different entity from your charge account.Comment
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Thanks for the info. Thats a relief. Also if they were to freeze my accounts and that dont they have to sue first and send out a letter? I just cant wait for the court date in two weeks.Comment
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I was in the same boat too. I had a credit card and overdraft protection and BKed on both of them. I didn't want to switch banks either so I didn't. Lawyer said it was okay (just like HHM said) unless the account was cross-collateralized. I think that means that if you had a loan/cc with them and default on it, they can take money in your bank account but you would have had to sign a note with them stating that fact. I think normally only credit unions do this. (Just reiterating what my lawyer said, hope this is all right.)
Anyway, bottom line - listen to HHM. I think you're okay too.
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