checking acct overdrawn before filing

[fayetired]

Because our car loan is through the same bank as our checking acct and we were 60 days behind our loan our bank deducted 850. from our checking acct. I had written out bills and grocery shopped before this but the checks hadn't cleared until after they did this...actually they didn't clear. We are overdrawn by 400. I have several other checks out that won't clear. We were already in a bad spot and now it is worse. We are filing in a few days, the 18th to be exact. What will happen to our checks? are they covered under the chapter 7? We live in oregon.

I was in contact with the bank about our loan and told them that we wanted to keep the van and we needed to get funds together to file for BR. They did not indicate to me at anytime they would withdraw funds. I am very upset at how they are handling this. If we were to choose to turn in the Van they would loose 3000. dollars as we were upside down in the loan to begin with and the value has dropped considerably and repairs need to be made on the brakes and airconditioning unit.

The bank will return the few check that will come in. What will the stores do? they are grocery stores. the amount of each check is no more then 140.

[HRx]

Because our car loan is through the same bank as our checking acct and we were 60 days behind our loan our bank deducted 850. from our checking acct. I had written out bills and grocery shopped before this but the checks hadn't cleared until after they did this...actually they didn't clear. We are overdrawn by 400. I have several other checks out that won't clear. We were already in a bad spot and now it is worse. We are filing in a few days, the 18th to be exact. What will happen to our checks? are they covered under the chapter 7? We live in oregon.

I was in contact with the bank about our loan and told them that we wanted to keep the van and we needed to get funds together to file for BR. They did not indicate to me at anytime they would withdraw funds. I am very upset at how they are handling this. If we were to choose to turn in the Van they would loose 3000. dollars as we were upside down in the loan to begin with and the value has dropped considerably and repairs need to be made on the brakes and airconditioning unit.

The bank will return the few check that will come in. What will the stores do? they are grocery stores. the amount of each check is no more then 140.

You'll want to either make good on all your NSF checks or list the amount of each check and the name of each store which you recently bounced a check with, on your BK 7 petition. You'll also want to list your bank on the petition as well. You're still going to have to find out if your bank is willing to let you reaffirm your auto loan too.

Good Luck!

[Man1975]

Question on this same topic

I have a similar question on this topic. I filed for Chapter 7 in 2002, but I did not say which stores I had bad checks with, I did however tell my lawyer which banks I had NSF with, so he included that in my bankruptcy. Does that mean that they are covered through Chapter 7?

Thanks!!

[Dawn1970]

I filed for Chapter 7 in 2002, but I did not say which stores I had bad checks with, I did however tell my lawyer which banks I had NSF with, so he included that in my bankruptcy. Does that mean that they are covered through Chapter 7?

Man1975, see the thread entitled "List of Creditors" on this same forum in which rrockingramma answers pretty much the same question. Maybe this will help you. I think the general consensus is that in most states a Chapter 7 wipes everything out even if you failed to list it on your petition. However, if they start a collection attempt it would be up to you or your lawyer to inform them of your Ch 7.