Trustee Red Flags

[sickandtired8]

I am wanting to find out what are some of the red flags that trustees look for? THanks! S

[lrprn]

(I moved your post into a new thread for you, S&T.)

I am wanting to find out what are some of the red flags that trustees look for? THanks! S

First - here's how to post a new thread. On the BK Forum home page (the first webpage that opens when you come to this site), click on the forum area that you want to post your question in (General Bankruptcy, Chapter 7, Chapter 13, etc). In the upper left corner above the current threads there's a button for New Thread. Click it once and a new post window opens. You title your thread and post your question or comment. Hope this helps!

As as to what trustees' red flags are, according to a Michigan bk lawyers' website at http://www.lawyers.com/glm/bankruptcyinfo.jsp :
"Certain activities are red flags to the courts and trustees. If you have engaged in any of them during the past year, your bankruptcy discharge may be denied. These include:
- giving away your possessions to friends or relatives in order to hide them from your creditors or from the bankruptcy court
- running up debts for luxury items when you were clearly broke and had no way to pay them off
- concealing property or money from your spouse during a divorce proceeding, or
- lying about your income or debts on a credit application.

In addition, you must sign your bankruptcy papers under 'penalty of perjury' swearing that everything in them is true. If you deliberately fail to disclose property, omit material information about your financial affairs, or use a false Social Security number, your case will be dismissed and you may be prosecuted for fraud."

[wrinkleigh]

Another 3 that come to mind

1. Unsecured debt over $100,000
2. Running up the majority of the debt in 1 year or less.
3. Personal bankruptcy including a business

Of course, we had all 3 of these, and we were closed and discharged with no UST involvement.

[sickandtired8]

(I moved your post into a new thread for you, S&T.)



First - here's how to post a new thread. On the BK Forum home page (the first webpage that opens when you come to this site), click on the forum area that you want to post your question in (General Bankruptcy, Chapter 7, Chapter 13, etc). In the upper left corner above the current threads there's a button for New Thread. Click it once and a new post window opens. You title your thread and post your question or comment. Hope this helps!

As as to what trustees' red flags are, according to a Michigan bk lawyers' website at http://www.lawyers.com/glm/bankruptcyinfo.jsp :
"Certain activities are red flags to the courts and trustees. If you have engaged in any of them during the past year, your bankruptcy discharge may be denied. These include:
- giving away your possessions to friends or relatives in order to hide them from your creditors or from the bankruptcy court
- running up debts for luxury items when you were clearly broke and had no way to pay them off
- concealing property or money from your spouse during a divorce proceeding, or
- lying about your income or debts on a credit application.

In addition, you must sign your bankruptcy papers under 'penalty of perjury' swearing that everything in them is true. If you deliberately fail to disclose property, omit material information about your financial affairs, or use a false Social Security number, your case will be dismissed and you may be prosecuted for fraud."

Thanks you so much!! S&T