Attorney Meeting today.. question about 341 hearing

[mhp8982]

One more question... is it safe for me to take cash out of my bank account? before filing. I don't mean like hundreds of dollars. But like $40 or something? Like if we go to the grocery store tonight, and I use my debit card, and I take out $40 cash? I'm trying not to spend it on anything frivolous. But my husband hasn't got his bank card yet for the new account...for us to use that one.

I also have a $100 check that was sent back to me for cancelling a trip in the summer. It was my deposit. Is it safe for me to cash it at my bank?

[debee]

Save your receipts to account for any cash withdrawals that you've spent. You have to disclose any cash on hand and the receipts will differentiate the two if you're asked.

[mhp8982]

i'm not quite sure I understand? Is it better that I don't do that? Is it ok for us to go and get groceries? What I meant was say our groceries are $50 and we use our debit card and decide to get $40 cash.. so then the grocery reciept is going to show $90. I was never told I'd have to disclose any cash on hand? I'm confused.

And what about the check I have? Can I cash it?

[mhp8982]

would it be better if we want to go get somethign out to eat, just to swipe the debit card, rather than to take cash out? Will they care if they see wen spent $25 eating out? right before filing?

[debee]

i'm not quite sure I understand? Is it better that I don't do that? Is it ok for us to go and get groceries? What I meant was say our groceries are $50 and we use our debit card and decide to get $40 cash.. so then the grocery reciept is going to show $90. I was never told I'd have to disclose any cash on hand? I'm confused.

And what about the check I have? Can I cash it?

You can get groceries. You can get cash. Both are fine. Any unspent cash that you have on hand is disclosed on schedule B. You want to be able to exempt your cash. That's all.

As for the check, if you don't cash it and spend it, you have to list it on your schedules as well. Not a problem so long as you can exempt it. If you can't, cash it and spend it on necessaries.

I don't know what to say about eating in a restaurant before filing bankruptcy. Get your husband to pay for it.

[mhp8982]

So, can I cash the check and deposit it into my husbands account? I really don't know how else we will spend $100. We already have to spend down $2000 in a few days. It's a check for $100 that they sent back to me for canceling our trip. I didn't know they'd have to know about that? Does it even show on the bank statements when I just cash a check?

[debee]

I'm pretty sure cashing the check and giving the money to another person is an attempt to defraud your creditors of an asset that is rightfully theirs. Also, you would have to disclose it on your SoFA as property of yours that someone else is holding for you. If you don't disclose it and sign your petition and go on to your 341 then you're committing perjury too.

I would cash the check and go buy paper towels, toilet paper, and other pantry items. Gas up the car. Get an oil change.

I would do that because I'd rather have $100 worth of toilet paper than commit fraud and perjury.

I don't know how/if you'd get caught doing it. I do know that if you just spend it down, you won't have the stress of having to worry about it.

[mhp8982]

even though it's only $100? I thought it just had to be larger. What if the lady wouldn't have sent this back to me until after filing?

If I'm going to spend it on normal things like toiletries, groceries, an oil change, etc... do i even need to report it to them? Would it be better to just deposit it and spend it that way? Like I'm spending the $2000 I deposited today? If I'm going to spend it that way, maybe it would be better that way, just to deposit it and spend it from the bank account, then it's all documented in the bank statement? I just think it may be pointless to cash it in that case.

BTW.. your oil change idea was awesome! lol we need those!

[debee]

Technically speaking, if you didn't have the money yet but knew it was coming to you, you would still have to disclose it in your schedules. If you can't exempt it, then I would cash it and spend it. It doesn't matter how you cash it. The important thing is to either exempt it or spend it on necessaries. If it's gone, the trustee can't take it.

In terms of reporting the check, I would run it by your lawyer. As for any purchases with the check, just keep your receipts (whether electronic or paper). You probably won't need to produce one, but if you do then you''ll be prepared.

[mhp8982]

But if I deposit it and just spend it then I don't really have anything to prove to them. It'll all be there on the statement. I've already been asked to bring a statement the day I file showing up to that point.

[debee]

Sure. That'll work. Deposit/spend or convert/spend. Electronic receipt/paper receipt. Doesn't matter so long as you spend it.

[mhp8982]

Would the $100 check we wrote for the deposit on the vacation cause a problem? That might determine whether depositing orcashing the check would be better? They just wrote me a check back when I canceled the trip? And I just got it back. I'm just ready for this to be all over! So tired of worrying and stressing over all of this.

[debee]

No. No problem. Do not worry about it. Just exempt or spend it. Think of it as $100 and you either have to list it as an asset on your schedules or consume it beforehand. That's all. It is simple and there's no reason to fret about it. It doesn't matter how you access it - cash over the counter or ATM purchases. It doesn't matter. List it or spend it. That's all.

No more worry. You have $100 to spend. How's your supply of Windex? Scrubbing bubbles? Got milk?

[StartinOver]

... Got milk?

OK, I read that, looked at your avatar and ... That's not exactly a MILK moustache you're sportin, debee! LOL

[debee]

LOL. Yeah, I don't know how I got this thing. I was defaced.