checking account use after filing

[sleeplessinohio]

Hi all,

With luck, we'll finally be filing Chapter 7 next week.

I just thought of something I didn't think to ask the attorney. We were told to have about $400 in checking account the day we file. We know that all checks need to be cleared, etc.

However, do we lose the money in the account the day we file? And, do we have to stop using the account to pay bills? Also, we both have direct deposit and weren't told to stop those deposits. If we can use the account after filing, how soon can we do that?

Thanks so much.

sleepless in ohio

[StartingOver08]

You want to have the amount the attorney told you $400 on the filing date. The balance needs to read $400.

After that you can make deposits and write checks like normal.
If you have a larger amount than you are supposed to, the Trustee is likely to take it if it is not exempted. Check with your attorney as to the specifics in your district. The Trustee is not going to mess with small amounts - but cash is their favorite asset.