Concerned over US Trustee

[SDBK]

I received a letter from the US Trustee requesting a ton of information and I'm very concerned.

1. Last 3 years tax returns
2. Last 3 years of bank statements
3. Credit card statements from 2008-present

This was shock to me. I used a non-attorney preparer and don't have representation at this point.

Is this normal?

[wsy]

I received a letter from the US Trustee requesting a ton of information and I'm very concerned.

1. Last 3 years tax returns
2. Last 3 years of bank statements
3. Credit card statements from 2008-present

This was shock to me. I used a non-attorney preparer and don't have representation at this point.

Is this normal?

Does the letter ask you to explain any deposits over 600.00?
But No that is normal for the "US Trustee" to ask for it 3 years back.

[SDBK]

Concerned over US Trustee

No, the letter does not say to explain any deposits over 600 but I think that's coming.

I'm sorry, did you mean to say that it is not normal or it is normal for them to ask for three years back?

[wsy]

No, the letter does not say to explain any deposits over 600 but I think that's coming.

I'm sorry, did you mean to say that it is not normal or it is normal for them to ask for three years back?

No it is not normal. Sounds like they want to do an audit.
There are 2 types of audit, the random audit and the "abuse" audit.
Both audits are done with the US trustee. The random audit involves using an outside auditor and usually 6 months of pay, checking, investments..etc records are asked. On the abuse audit the US trustee does the audit.
Since they asked for CC statements that far back something in your schedules did not jive....
Did you even look at the information that was filed? Probably a"presumption of abuse".

[Unibrow]

Need background info. Usually they don't ask that much info unless they think you are hiding something or need something to push you into a 13 if you're filing for a 7. Maybe the preparer didn't write down the correct number. You need to check their work for accuracy.

What state did you file in?
Over/under median?
Over 100K unsecure?
Self-employed?
Transferred house/vehicle over the past 3 years?
Paid a family member any money within the past 12 month?

[blockhead]

I received a letter from the US Trustee requesting a ton of information and I'm very concerned.
1. Last 3 years tax returns
2. Last 3 years of bank statements
3. Credit card statements from 2008-present
This was shock to me. I used a non-attorney preparer and don't have representation at this point.
Is this normal?

They are auditing you. I was only asked for 1 yr bank statements, but they wanted deposit slips, cancelled checks too, for personal and business accounts.

They also wanted insurance policies, statements, lease agreements, all brokerage and other accts going back 2 yrs, plus a sworn affidavit and other fun things.

You just have to get them everything they asked for asap. Drop it round personally to the UST's office is what I did although I did have an attorney.

If there are any vulnerabilities as far as qualifying for Ch7, or even if you don't think there are, if you can afford an attorney, hire one.

[blockhead]

.. and yes, being self-employed or owner of your own small business, and/or discharging a lot of debt (in my case it was nearly 300K) will often trigger an audit. Apparently according to my attorney they have to do a report for the guys in DC in such cases (or where they suspect they can push you into a 13)

[tobee43]

They are auditing you. I was only asked for 1 yr bank statements, but they wanted deposit slips, cancelled checks too, for personal and business accounts.

They also wanted insurance policies, statements, lease agreements, all brokerage and other accts going back 2 yrs, plus a sworn affidavit and other fun things.

You just have to get them everything they asked for asap. Drop it round personally to the UST's office is what I did although I did have an attorney.

If there are any vulnerabilities as far as qualifying for Ch7, or even if you don't think there are, if you can afford an attorney, hire one.

really, you think?? i was never asked..i just provided three years of everything plus more...maybe that's why we were not asked...i did overkill...

when i hear that people only provided one years 1040...i was in shock. even when i gave the atty everything....he was like i don't need ALL this...i told him SUBMIT it...end of story...

the trustee asked us for nothing else. although i have seen on this forum that people were asked to produce their 1040's which made no sense to me since copies are submitted with the petition...UNLESS some states do not ask them which i find odd to believe?

[Fallonedward]

really, you think?? i was never asked..i just provided three years of everything plus more...maybe that's why we were not asked...i did overkill...

when i hear that people only provided one years 1040...i was in shock. even when i gave the atty everything....he was like i don't need ALL this...i told him SUBMIT it...end of story...

the trustee asked us for nothing else. although i have seen on this forum that people were asked to produce their 1040's which made no sense to me since copies are submitted with the petition...UNLESS some states do not ask them which i find odd to believe?

Tobee, do you only have to submit 3 years worth of everthing if you have a business? I'm trying to make sure I gather everthing I need in advance so I don't have a situation of being requested to produce 3 years of bank statements or CC statements and not having access to do that once you file.

thanks so much

[HHM]

I received a letter from the US Trustee requesting a ton of information and I'm very concerned.

1. Last 3 years tax returns
2. Last 3 years of bank statements
3. Credit card statements from 2008-present

This was shock to me. I used a non-attorney preparer and don't have representation at this point.

Is this normal?

Not normal, but probably nothig to be concerned about. It is either
1. Random audit
2. Your situation is questionable. (that money you saved by not using an attorney may come back to haunt you if this is the situation and your BK could end up costing tons more than if you had hired an attorney at the outset).

However, it sounds like an random audit.

[tobee43]

Tobee, do you only have to submit 3 years worth of everthing if you have a business? I'm trying to make sure I gather everthing I need in advance so I don't have a situation of being requested to produce 3 years of bank statements or CC statements and not having access to do that once you file.

thanks so much

actually, we were only asked or better put...requested to submit for 2 years of taxes and 6 months of bank statements, deeds...legal agreements etc......NO CC statements...it would not have been possible anyway since i had electronic accounts.

we did not have our own business at the time, however, we had extremely complexed financial situations and i wanted to be able to leave no questions for the trustee....

i submitted so much paperwork to back up everything really for the past at least 10 years, so that we were able to show consistency, which i think is the "key" here. i had ready another 5 years of tax returns if they needed more.

now, prior to my 341, we were contacted by the trustee's office via our atty and were just asked to explain a few things we had submitted. i was very glad they did that, or they could have had us go to the 341 then requested the docs that i KNEW they were going to ask for anyway...actually, the trustees office got back to us directly and said how they appreciated us provided everything in such detail. we left NO stone unturned...however, remember our bk was complexed...and not cut and dry.