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Does chapter 13 protect your checking account from being frozen

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  • justbroke
    replied
    The freezing of an account upon filing a bankruptcy is only done in a Chapter 7 since that's a liquidation. Additionally, the only bank that I know of that does this is Wells Fargo. There may be some very small local (community) banks that do this as well, but only for a Chapter 7. A Chapter 13 is s reorganization, not a liquidation.

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  • HLS
    replied
    I finally got to my bank and they said as long as checking is in good standing and not overdraft i am ok

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  • HLS
    replied
    What do you mean? They can not freeze the account or 13 can not protect me?

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  • shipo
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    It is my understanding this is something which they cannot do.

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  • Does chapter 13 protect your checking account from being frozen

    One of my credit cards is with the bank I bank with. Am I at at risk of having my checking account frozen. Is there a legal $$ they can restrict?

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