Question about $$ in bank acct

[so-beyond-broke]

Hi all

I plan on filing my BK - Ch 7 no asset case this week and I have a question. I just got paid yesterday and most of the money is gone to bills and food. I have about $300 left in the acct to pay for a bill later (car note) on this month - after I file. The money is covered by my exemption so I should be ok for the filing. Is it best to leave this money in my checking or withdraw it and keep it under my mattress until I pay the car note. Either way its covered by exemptions. I just worry that once I file - someone will try to take $$ out my account - don't ask why I am spooked - I have been on pins and needles all week.

Thanks,
sbb

[annikasaunt]

I would take it and get a money order so that when the pymt is due you are all set to mail it. When you file you will only have to report what is in your account as of that day. Better to be safe...

[aa06a47]

All I can say is that Bank of America did not take any money out of my account when I filed BK. I have heard though that credit unions do sometimes do this.

[edwards2]

I wouldnt worry about it. We had money in our account but obviously it was all outgoing. The trustee is looking for disposable income; not money that is in your account temporarily. Our incoming looked really good until she looked at the outgoing. The trustee will be looking at expenses and if any of them can be disallowed which would free up disposable income. If you dont have that concern dont sweat it. It is a very trying time but we are all here to support you.

[so-beyond-broke]

Thanks Edwards2

I have no disposable income. My current expenditures vs my current income gives me a negative balance. Even if they wanted to disallow my cable or cell phone service, I would still be close to a negative amount. I am no where near having an extra $100 a month of disposable income to be forced into a Ch 13. Even the counselor who did my bk counseling so that I can get my certificate suggested if it were possible to get a second job.

sbb

I wouldnt worry about it. We had money in our account but obviously it was all outgoing. The trustee is looking for disposable income; not money that is in your account temporarily. Our incoming looked really good until she looked at the outgoing. The trustee will be looking at expenses and if any of them can be disallowed which would free up disposable income. If you dont have that concern dont sweat it. It is a very trying time but we are all here to support you.

[bellagad]

watch your money in the bank closely the trustee keeps a eye on the bank account. reason i say that is i made a 5,000 deposit and that was the first thing he asked me about, i showed it was only deposited to cash for someone else so i saved mmy butt, paid all bills by m.o. until i was discharged

[AMISLANDER]

Just in case ....

"they" un-named lawyers...will tell you to leave about $25 in bank prior to paperwork being filed...exemption or no exemption...put your car note in a money order. Protect the little $ you have left!

Don't forget, trustee may ask you to disclose previous bank statements...be prepared to explain any big withdrawls or deposits. CYA!

[Michelob]

If you ahve triple A, you can go in and get travelers checks FOR FREE> They can seve you well later.

[wendichris]

I would definatly do the moneyorder thing. Our attorney did not tell us what day he was going to file our paperwork. It just so happens that the day he filed, we had 800 dollars in our account..that was to be for the mortgage. That money was accounted for, but our trustee didn't care about that. He used our balance on the filing date, and managed to use up several cash exemptions and our wildcard exemption to cover that money. If I were to do it again, I would have gotten a money order for the mortgage, and we would have most likely been able to exempt our entire tax refund.

Just my experience though -

Wendi

[dweebolina]

My husbands paycheck & expense check were both direct deposited on the day that we filed. We had filled out our paperwork mid month when our balances were right on our form (we had to finish paying our attorney fee) but we had to account for the money deposited in our checking account on the day of filing and some of our withdraws. The trustee did request our bank statements to look at the balance on the day of filing.