Wonder if this could cause trouble?

[whatamess]

I had a garage sale one month ago. I sold about $70 worth of kids toys, various household junk and such. Nothing big. I was actually trying to make up money to pay a CC bill!
Now, someone tells me this is trouble because I 'transfered property'??
I have no idea who even bought the stuff let alone the fact $70 is not a big deal...
Ive mentioned before we are living with my mother and most of the yard sale stuff was my mothers. I only sold a table and a few toys.
This cant possibly be true could it? Sounds hokey.
Whatamess...

[HHM]

Don't worry, sounds like any of the property you "transferred" would have been exempt anyway (as household goods), and the value is too inconsequential for the BK trustee to care.

Now, if you gave your uncle $1000.00 yesterday, then you would have a problem

[SinkingFast]

Technically, Yes, you did transfer assets. But, these are not the types of assets the Court is gonna be looking for.

The Court is interested closed bank accts, vehicles you sold, a house, expensive pieces of jewelry, antiques, that sort of thing. Big ticket items.

Also, if you're using State and not Federal Exemptions, the kids' things may be a non issue anyway. It really depends on your Local Rules. Here, where we filed, State Exemptions apply to the Debtor's bedroom and common use areas of the home. The kids' rooms and things are just that. The kids'.

[CindyLou]

I agree, all exempt property anyway. Plus I'm sure you used the money for necessary expenses. They will not be looking at small one time items such as that, and they won't know if you don't tell them anyway.

[whatamess]

Found more potential problems....!!!

First...
Back in June this year 2006 I needed cash and my bank was closed. I was out with my mother and wrote a check for $1,200 to her. In the memo on the bottom it says 'for cash'. She cashed it and gave me the money. I remember we were going out to buy clothes for my kids, some fathers day gifts for my husband, and summer clothes for my husband & I. We also took my mother out for a belated mothers day gift. I'm trying to find the receipts to back up this claim, but its no easy feat. I am not a saver, of paperwork and such and this is not a good thing right now.
Im very worried now my mother with be a 'debtor' and have to pay back that $1,200. Thats impossible for an old lady living on SS with mounting medical bills of her own. (I would not allow this and would find a way to pay this...how I dont know.)
Has anyone ever had an experience like this? How utterly stupid!!! At the time I would have never imagined things would get this bad. We had some $$$$ in the bank still from a lawsuit.
Should I even mention it? Will they find the canceled check since it was within the last year?

Also, has anyone ever been in a credit agreement with Toyota Finanical during chapter 7 and were they willing to either re affirm or would keep taking payments? I have heard every car company is different and some are much more forgiving than others.

Whatamess!

[CindyLou]

In my eyes, it wasn't a loan! You cashed a check. Traded a check for cash on the spot. I wouldn't mention it because nowhere on the BK forms does it say, "did you cash a check at any time?") so, you wouldn't be lying if you didn't mention it. Thank goodness you wrote "cash" in the memo. IF it is ever questioned, then I would explain and show them a copy of the check. I'm not an attorney, just what I would do if in that situation.

[SinkingFast]

In my eyes, it wasn't a loan! You cashed a check. Traded a check for cash on the spot. I wouldn't mention it because nowhere on the BK forms does it say, "did you cash a check at any time?") so, you wouldn't be lying if you didn't mention it. Thank goodness you wrote "cash" in the memo. IF it is ever questioned, then I would explain and show them a copy of the check. I'm not an attorney, just what I would do if in that situation.

Dittos!

Your attny will probably only wanna see the most recent 2-3 months of Bank Statements.

I wouldn't worry about it for now. Don't go borrowing trouble.

[yomama]

Whatamess, I hope it eases your mind by me telling you that I'm a bigtime worrier of things and I wouldn't even sweat over the things that you mentioned. That $70 in so inconsequential imho. Also, I agree with the others that the check wasn't a loan and just that you needed cash, and that's what I would tell them if they would even question it along the way. I wouldn't consider it a transfer of money, and you can prove that with the canceled check where you wrote "cash". I can honestly say I wouldn't be worried about either of the things you mentioned.