Am I allowed to open a few new bank accounts prior to filing for Ch 7?

[aimhighlow]

I am thinking about opening 2-5 working bank accounts (or credit union accounts) before I file. By opening new bank/checking accounts, this should not affect my bankruptcy case in any way?

Thank you in advance!

[frogger]

Nothing wrong with opening new accounts, just be ready to list all of them when filing.

[AngelinaCatHub]

I am thinking about opening 2-5 working bank accounts (or credit union accounts) before I file. By opening new bank/checking accounts, this should not affect my bankruptcy case in any way?

Thank you in advance!

I am curious. WHY? One will do, and if you are gong C7 that is liquidation. For what logical reason "several" bank accounts? 'Hub

[aimhighlow]

Angelina,

I am opening 2-5 bank accounts just in case my ChexSystems receives something negative from the bankruptcy/debt and I find myself in a position where I can't open any new accounts. (Although this should not happen, I don't want to take a chance)

[AngelinaCatHub]

Angelina,

I am opening 2-5 bank accounts just in case my ChexSystems receives something negative from the bankruptcy/debt and I find myself in a position where I can't open any new accounts. (Although this should not happen, I don't want to take a chance)

I see. Good logic, but sometimes banks will lock you out (or close) an account when they hear of your bk. I am not sure of your success in this thought. Keep us informed. 'Hub

[aimhighlow]

I see. Good logic, but sometimes banks will lock you out (or close) an account when they hear of your bk. I am not sure of your success in this thought. Keep us informed. 'Hub

Yeah sure I will do that, thanks

[HHM]

Actually, pretty bad logic. You are over thinking this and being paranoid. Just get a bank account at ONE bank that you like and with which you have no, direct, lending relationship, and you will be fine.

Bank's are highly competitive and WANT customers. Also, if this were really a problem, you would hear a lot more about it, on this forum, and other bankruptcy related sites, but the problem is just not there.

[Freddy03]

If you are reported to Chexs or EWS you will have a VERY hard time getting a new account and if you are approved once they run the background check (usually within 60 days of opening date) they can and will close the account with out warning.

I opened 2 new accounts b/c I was reported to Chexs. Both banks (one bank and one credit union) did not use Chexs as a qualifier but after my BK my old closed Chase account was reported to EWS (Early Warning System) so currently I can not write checks at my local grocery store with my credit union account b/c of this. Once I'm discharged I can get my Chase accout removed from EWS and then I can write checks again.

[aimhighlow]

Thank you HHM & Freddy for the insight.

Actually, pretty bad logic. You are over thinking this and being paranoid. Just get a bank account at ONE bank that you like and with which you have no, direct, lending relationship, and you will be fine.

Bank's are highly competitive and WANT customers. Also, if this were really a problem, you would hear a lot more about it, on this forum, and other bankruptcy related sites, but the problem is just not there.

HHM, Freddy- thank you for the great advice.

I almost forgot I have a couple of credit union accounts that I have not been using. So basically any new or existing checking account (in which you have no debt with that bank) from a bank or CU should work then?

So it looks like I might not even have to open any new accounts

[iv65536]

I had a checking account at US Bank that I had not used for some time but still had about $5 in it when I filed, exempting the funds in it. Even though I discharged two US Bank credit cards for about $12k, I brought this account back to life and used it as one of my accounts since. The account will soon be closed as part of a transition to a credit union with which I had no pre-BK dealings.

One other thing: I had an account, which I plan to keep, with an online bank that reimburses ATM fees. The first ATM withdrawal after filing was at the ATM at what was then Prosperan Bank in Oakdale, MN, which had just been closed by regulators and the assets sold by the FDIC.

[iv65536]

I had a checking account at US Bank that I had not used for some time but still had about $5 in it when I filed, exempting the funds in it. Even though I discharged two US Bank credit cards for about $12k, I brought this account back to life and used it as one of my accounts since. The account will soon be closed as part of a transition to a credit union with which I had no pre-BK dealings.

One other thing: I had an account, which I plan to keep, with an online bank that reimburses ATM fees. The first ATM withdrawal after filing was at the ATM at what was then Prosperan Bank in Oakdale, MN, which had just been closed by regulators and the assets sold by the FDIC.

Just to clarify, I did not bring the US Bank account back to life until several months after the discharge.

I closed the checking and savings accounts yesterday at both US Bank and Wells Fargo; the money is now in my checking account at the credit union.