help-car loan question and more!

[Tabbygirl]

First off, I apologize in advance for a bunch of questions I will ask over the next day or two!! I am getting everything ready to file later this week, before 7/31.

I intend to keep a car loan which is a joint debt with my husband--do I keep making payments like usual? The loan is currently past due but I intend to get it caught up by 8/01. If I file before then, and it's still past due am I screwing myself?

What about a contract labor check I received? I need to cash or deposit it but the credit union will hold part of it (even though it's from a big university--it's their 'policy.'). The payment is outside of the 6-month means test (01012008 to 06302008) and I probably even still qualify with it but I don't want to raise red flags. If I have to provide bank statements am I going to be questioned over ~$4000 in contract labor? (of course I will pay tax on it when I file in 2009)

Do I still make the car lease payments? The next one is due after I file but before the 341. What about another account that is secured--pay as usual?

I read the posts about banks--if we're within the means tests and all, is it pretty unlikely our bank accounts would be frozen? We have direct deposit from regular employment and basically can't stop it at the drop of a hat. I can draw the $$$ out after it hits, though.

THANKS ALL!!!!!!!!!!!!!!!!!

[Tabbygirl]

Oh, and the CU auto loan is linked only to an account with $7 in it; we have our individual direct deposits at a different credit union in our individual checking accounts. From what I read, we're probably ok as long as we don't have active checking and loan accts. at the same cu. The trustee wouldn't/couldn't freeze anything, right?

I'm not hiding anything but I am just a bit paranoid about the whole process! My luck I would have a trustee who think I appeared too honest or truthful. LOL

Please, if y'all have any input I would really appreciate it!!

[Help!]

Are you above the median income or below for your state? Income = any money you received from any source in the six month period ending on the last day of the month you file. Was the contract labor check issued in the six month period? If so, yes, it does count as income. If not, the check will still need to be exempted on your petition in order to protect it (and you). Hanging onto the check and then cashing it after you file or after your 341 without disclosing that you have it is a very risky thing to do.

At this point, you should stop paying any of the accts. included in BK except those secured debts for property you wish to keep.

Yes, case trustees have the ability to freeze accounts. They usually do not unless it appears assets have been hidden, but it does happen (and this is why you need to disclose the existence of that contract labor check).

[Tabbygirl]

Are you above the median income or below for your state? Income = any money you received from any source in the six month period ending on the last day of the month you file. Was the contract labor check issued in the six month period? If so, yes, it does count as income. If not, the check will still need to be exempted on your petition in order to protect it (and you). Hanging onto the check and then cashing it after you file or after your 341 without disclosing that you have it is a very risky thing to do.

At this point, you should stop paying any of the accts. included in BK except those secured debts for property you wish to keep.

Yes, case trustees have the ability to freeze accounts. They usually do not unless it appears assets have been hidden, but it does happen (and this is why you need to disclose the existence of that contract labor check).

No, I'm below the median income for the state. From what I understand per all I've read, if I file 07/31, the prior 6-month income period is 1-1-08 to 6-30-08. The contract labor check was received today, so it's outside of the 6-month. The bank is 15+ miles from here, so I'm not "hiding" it--I just don't drive ANYwhere anymore due to gas prices unless I really have to, so I wouldn't even go near the bank until 7/31 when I plan to file.

Re-reading the BK forms, the contract labor wouldn't even come into play unless they ask for income received after 6-30-08--and I am 99 percent sure I would still be under the median. I need to look into the deal w/exempting it since I am not hiding it but I'm also not going to be able to do anything with it until after I file.

I'm such an honest person that I worry about stuff a tad bit too much.

[Help!]

If you were aware that you'd be receiving this $4K check, it should have been listed on Schedule I in the section at the bottom of the page "additional income that can reasonably be expected....". It doesn't affect your means test calculation, but it is still income that should be noted on your petition to be safe. Just my opinion.

[Tabbygirl]

If you were aware that you'd be receiving this $4K check, it should have been listed on Schedule I in the section at the bottom of the page "additional income that can reasonably be expected....". It doesn't affect your means test calculation, but it is still income that should be noted on your petition to be safe. Just my opinion.

That's a good idea...I was also going to mention my 2% raise from the school district and my husband's teeny state employee raise on Sept. 1 (which is like $70/mo) so I will just mention the last part of the contract labor payment as well. That way, it's disclosed and I would think would satisfy the court's need to know.

It's not a ton of money, which is frustrating, but it's a good chunk of change for us and we really need it. I've been reading Nolo like crazy trying to figure out where that would be notated.

[Cali]

If you are keeping the vehicle it has to be caught up and you continue to make payments on it.