Your Opinions Please...

[technoreid1]

My wife and I plan to file this Friday (which is looking unlikely now since I cannot get in touch with my lawyer)...

Her paycheck normally goes into our checking account on Thursday night (direct deposit). We have stopped direct deposit and will be getting a paper check on Friday (the day we file)....

Our question is this. (Assuming we file BK on Friday)

#1. Do we deposit her payroll check into our checking account on Saturday and continue to use our checking as we normally do (write checks, use our debit cards ect...) throughout our BK....

#2. Or should we take her paper check and cash it at our bank - and go all cash during our BK and keep receipts?


Or does any of this really matter?


Thanks, techno

[emoney]

For the most part money in bank accounts at the time of filing is property of the bankrupt estate. What I would do is get the check and deposit it and then use bank checks or have the bank pay your bills. If you use personal checks and they have not been paid by your bank when you file there will be money in your account which will be seized and you have "hot checks" outstanding.
regards,
emoney

[keepmine]

I'd just be sure ALL checks had cleared and your account is below what your state allows for an exemption before you file. Once filed, deposit the check the next day and it should be business as usual.

[demismom]

Just make sure there's not more than your allowable exemption on the day you file in there. As a matter of practicality, it's easier to just keep on keeping on, but we cashed ours for a while and learned to live that way. It was a great way to learn to stay within our budget.