How do you pay your 1st month's bill after filing?

[texbuilder]

If all of your cash,business and personal, is assumed by the trustee, how do you pay your overhead or even your first month's electric bill? Won't you be in a debtor state immediatly?

Self- employeed people do not have a 1st and 15th pay check.

Thanks for any info you can offer. We are in Texas

[HHM]

Are you talking about the creation of the "bankruptcy estate" which is made up of all your assets and liabilities when you file. The bankruptcy estate is a legal fiction, you are still in possession of your assets etc. Plus, in a chapter 7, all monies earned after the date you file BK, are yours and not part of the BK estate.

The trustee doesn't take physical possession of your bank accounts or cash.

[texbuilder]

We could be finishing a house and still have part of the last draw due. Is that accrued earnings? Could we file between finishing the house and closing the house? The check recieved then would be ours?

All profit in home building comes out of the last draw. If we had no new job lined up or one that would start late in the year all cash would be gone if that money became part of the bk estate. Thanks

[HHM]

These questions need to be directed to a BK lawyer in your area. Since you are self-employed, you need to hire an attorney.

[Minnymouth]

AMEN TO THAT

HHM knows what he's talking about.

Minny