Amendment question??

[cp2010]

We filed chapter 7 this past thursday with our attorney who is also a trustee of the court. We were asked to explain a 17,000 dollar check written on a insurance account. So we told him it was a car purchased for our daughter which it was, we did not fill out that we had gifted anything to anyone, but at the same time did not fail to show the money spent from the account. He is making a big deal out of us not claiming this and what a big problem this could be, and that if we amend the trustee will probably take the car which is paid for. It was purchased earlier this year with proceeds from a house fire that our daughter elected not to put back into her personal contents portion of the house and the car was placed in her name? Can we not simply just make an amendment to the forms and have the car put back in our names and claim the exemption?

[AngelinaCatHub]

We filed chapter 7 this past thursday with our attorney who is also a trustee of the court. We were asked to explain a 17,000 dollar check written on a insurance account. So we told him it was a car purchased for our daughter which it was, we did not fill out that we had gifted anything to anyone, but at the same time did not fail to show the money spent from the account. He is making a big deal out of us not claiming this and what a big problem this could be, and that if we amend the trustee will probably take the car which is paid for. It was purchased earlier this year with proceeds from a house fire that our daughter elected not to put back into her personal contents portion of the house and the car was placed in her name? Can we not simply just make an amendment to the forms and have the car put back in our names and claim the exemption?

Normally, insurance proceeds are not attachable. You have a unique situation. These where yours, or hers in respect to an insurance proceed? It it were her share, she can do whatever she wishes with it. If it were yours, actually it was to make you "whole". I am not sure your lawyer, who is a Trustee (better of both worlds) understands that issue?

'Hub

[cp2010]

The insurance is from a house fire, there are two parts to the money. Contents (all inside stuff) and structuaral portion. A seperate account was set up and we rebuilt planning on staying in the house, but we will probably be leaving the house, a portion of the money we could have put back into the contents of her portion of stuff was actually used instead to get her a car. We just didn't list it as a gift, but show it in the bank account with a check written for the total price. Our attorney is pissed it seems because his secretary also his wife hit the send button on the filing before she noticed the $17000.00 check. They think the trustee will take the car and possibly make us rebuy at fair market value. We checked and it's worth more than we paid, and we don't want to pay for the car twice. He's letting us stew all weekend on the fact that we never came out and talked to him about this, though we never considered it a gift, because of the insurance money, we are having to verify many checks regarding the rebuild in case the trustee asks about them, and this is fine. I am thinking that we just file an amendment, put the car in our name and claim the exemption which we have enough for claiming it there, and am confused as to why this is such an issue. He is giving us two options, one is amend and let the trustee take it and two is skip the creditors meeting and refile and fix it then, both scenarios have unknown consequences and we want to do what is right but at the same time not lose the car. It looks like it's an easy fix am I wrong????