withdrawls and household income questions

[ab33arch]

...i just read about bank statements on a thread and now i am worried...i've had large withdrawls the last few months, mostly because i'm helping my fiance pay his car since he got laid off....he'll be finish paying it off in march and i wanted to help so he didn't loose the car....i'm not looking for any personal judgement just wondering if this is going to bakfire on me when i file for bk??? its not like i'm blowing off all my money on stupid things...but its a payment that's not mine...

another question, my fiance lives with me and my brother just recently moved in beginning of sept.... am i going to have to include their income and whatnot??? fiance is on unemployment and my brother works full time....is this going to hurt my filing also??

[cupcake]

When you say "large" withdrawals, how much are you talking about? $100? $500? $1000?

[ccsjoe]

As far as your brother and fiance living with you, do any of them contribute to your household expenses? If the answer is yes, then you have to include their income as part of your household. If only 1 does, then include only that 1's income. Of course, also adjust the size of your household to match the number of incomes you're counting.

[ab33arch]

When you say "large" withdrawals, how much are you talking about? $100? $500? $1000?

the most was 600....his car payment is 560... but on average i've taken out 300 or 200 withdrawls to help him out...

[ab33arch]

As far as your brother and fiance living with you, do any of them contribute to your household expenses? If the answer is yes, then you have to include their income as part of your household. If only 1 does, then include only that 1's income. Of course, also adjust the size of your household to match the number of incomes you're counting.

yes, fiance pays cable and helps with groceries and stuff for the house and whatnot...my brother just moved in this month and he's gonna help with utilities and other stuff for the house...

[ccsjoe]

Whoever is "pitching in" with your household expenses on a regular basis and living in your house must be counted as part of your household, hence their income must also be counted. This can potentially affect your ability to file for a CH7 due to increased DMI on means test AND Schedule J.

[wnguyen]

I don't think $200 or $300 would be a big issue.

[professorkev]

I think I better cash out m 30K in stocks and wait to file!

[backtoschool]

There is a good chance that the trustee will go after your fiance for the money. Any money given to an insider that totals more than $600 in a year period is a preference that can be voided by the trustee. The trustee will look at the total of all the checks you wrote and go after your fiance for them. I became an asset case because I wrote two $500 checks to my mother to help her with her expenses. The trustee went after my mother for the money. I didn't want my mother to pay the trustee of course, so I paid the trustee.

[momofthree]

yes, fiance pays cable and helps with groceries and stuff for the house and whatnot...my brother just moved in this month and he's gonna help with utilities and other stuff for the house...

It's a bit late for this now, but it would have been a better idea to have him pay his own car payment and you paid the household bills/expenses. That way, it wouldn't have been a preferential payment. You're basically paying each other's bills and that is going to end up costing you.

[momofthree]

double post

[momofthree]

You're already engaged, what about waiting to file until after the wedding? With him being unemployed, it wouldn't be a preference to pay his car payment, you'd simply be supporting your unemployed spouse. Anyone know if this is a valid option? It sounds reasonable to me, but I have ZERO firsthand knowledge.

[tcreegan]

Hi ab33arch,

its not like i'm blowing off all my money on stupid things...

Don't forget that BKs are business decisions, no points for good intentions, its all about the numbers.....

Hang in there,

Tom in Colo

[ccsjoe]

I agree with Tom. You have to force yourself to not get emotional about this. It is a business decision, period. Let your fiance help with your emotions after the fact. You have to be all about business when dealing with this.

[ab33arch]

The trustee will look at the total of all the checks you wrote and go after your fiance for them.
i didnt write checks out...it was a withdrawl at my bank...

It's a bit late for this now, but it would have been a better idea to have him pay his own car payment and you paid the household bills/expenses.
i'm realizing this now....i actually wish i would have found this forum when i first started contemplating filing for bk 'cuz it would have saved me from not thinking this summer... :-/

You're already engaged, what about waiting to file until after the wedding?
i want to get my financial situation handled first before getting married....we're planning a 2-yr engagement, maybe longer if the foreclosure drags out....

Don't forget that BKs are business decisions, no points for good intentions, its all about the numbers.....
i hear ya Tom in Colo....like i said, wish i would've found this forum sooner, would've been more smart about my decisions... :-/


I've read a lot of forums on here about some who wait to file because of means test or other reasons.....how does that work exactly?? do you just keep not paying creditors and such until you file?? what are some of the benefits/disadvantages of waiting?? i checked on that nolo means test, and including the household of 3, i'm under the median income....