Freezing Bank Accounts?

[tobee43]

So, I have....
Amex CC
AT&T Universal CC
Chase CC
Wells Fargo mortgage
PNC heloc

But I had Chevy Chase for my banking, which is now Capital One.

I'm safe?!?!?!?!

safe??? depends on the empire?

[ccsjoe]

Depends. Who is ATT Universal through?

Do you have any LOC with Chevy Chase?

Stupid question....are they related to Chase? or Chevy Chase (had to get that in, sorry)

There is always an element of unknown when you file, and it is impossible to guarantee 100% anything on BK. You should be fine if you have no credit, direct or indirect, with them.

[Panacea]

So, I have....
Amex CC
AT&T Universal CC
Chase CC
Wells Fargo mortgage
PNC heloc

But I had Chevy Chase for my banking, which is now Capital One.

I'm safe?!?!?!?!

[tobee43]

tobee is correct, but there is one exception. Some banks, specifically Wells Fargo, and some CU's will freeze accounts just because the holder filed BK, even if the holder has no credit relationship with the institution. They claim to do this to protect the interests of the bankruptcy estate and demand to receive a release from the trustee or the judge in order to release the account.

As far as opening with a small bank, sure. Not necessarily a must, but it works. I chose to open with a large national bank and have not had a glitch. And I keep the convenience of widely available ATMs

yeah...they are a nasty bunch!

[ccsjoe]

tobee is correct, but there is one exception. Some banks, specifically Wells Fargo, and some CU's will freeze accounts just because the holder filed BK, even if the holder has no credit relationship with the institution. They claim to do this to protect the interests of the bankruptcy estate and demand to receive a release from the trustee or the judge in order to release the account.

As far as opening with a small bank, sure. Not necessarily a must, but it works. I chose to open with a large national bank and have not had a glitch. And I keep the convenience of widely available ATMs

[tobee43]

it's cross collateral......

many people have loans where they bank... here's an example of why it happens:

when preparing or filing a bk...one usually stops paying their loans i.e. car loan...or the issuing bank also gave you a credit card, they freeze the checking account. awful...of course usually your checking account has your bill and food money is in there.... most times the Cu or banks freeze the account, not legally, but it's a hassle as you have now seen.

there is a moral to this story that i repeat over and over.......NEVER EVER eat where you poo......end of story.

your going to file bk.....then open an account with a small local bank...one that knows you when you come in and needs your business.

i'm certain more people have much to say on this topic and will share their reasoning as well.

[mrskal]

Can someone please explain, in what situation and when a bank can freeze your accounts? After reading the recent post about someone getting their CU account froze, I am curious now.