341 Continued

[netimaster]

Hello Everyone,

ive been a lurker for awhile and figured it’s time to ask a few questions.

we had our 341 meeting last week and during the meeting found out the attorney never sent the bank statements or 1 contract on our car. The case was then continued to next week.

I guess the first question is how will this effect our case in the eye of the trustee? We sent the stuff to the attorney but it still falls to us I guess to make sure the court has them.

the second is about the bank statements. We did sell some eBay stuff before filing maybe 10k worth of stuff 30-100 days before filing. We listed the transfers on the filing as misc electronics and house hold goods sold to unknown buyers for FMV. How much of an issue will that be to the trustee? Also you can see the PayPal to bank account deposits. I never listed PayPal as a bank account since like others I never thought about it.

we have a couple Amazon purchases on the bank statement over $500 but nothing else of note outside the deposit is from eBay/PayPal.

thanks for anyones insight.

[justbroke]

I guess the first question is how will this effect our case in the eye of the trustee? We sent the stuff to the attorney but it still falls to us I guess to make sure the court has them.

Stuff happens and it is common for the Trustee to continue a 341 Meeting in order to await some documentation. Since it does happen, the Trustee doesn't think anything less or more about a particular case.

the second is about the bank statements. We did sell some eBay stuff before filing maybe 10k worth of stuff 30-100 days before filing. We listed the transfers on the filing as misc electronics and house hold goods sold to unknown buyers for FMV. How much of an issue will that be to the trustee?

The Trustee may ask where that $10K went and you should be able to explain that it was in order to survive/live.

Also you can see the PayPal to bank account deposits. I never listed PayPal as a bank account since like others I never thought about it.

I don't know how to treat PayPal, however, PayPal is not a bank. Having wrote that, if you had a balance at PayPal that should have been reported as either "cash on hand" or held by others.

we have a couple Amazon purchases on the bank statement over $500 but nothing else of note outside the deposit is from eBay/PayPal.

It may or may not rise to the level where the Chapter 7 Trustee asks what you purchased. This can especially be interesting if you bought an item of personal property -- for example, a computer -- and failed to list it as an asset in your bankruptcy case.

The reason Chapter 7 Trustees ask for bank statements is to see if large sums of money were moved around in the 90+ days preceding the filing of the bankruptcy. If you used the money in order to live, pay for your attorney, and other necessary expenses, it's never of any issue. Just may need to be documented to the Trustee's satisfaction.

I'm curious as to whether you told your attorney about the various purchases and sales.

[netimaster]

Stuff happens and it is common for the Trustee to continue a 341 Meeting in order to await some documentation. Since it does happen, the Trustee doesn't think anything less or more about a particular case.

The Trustee may ask where that $10K went and you should be able to explain that it was in order to survive/live.

I don't know how to treat PayPal, however, PayPal is not a bank. Having wrote that, if you had a balance at PayPal that should have been reported as either "cash on hand" or held by others.

It may or may not rise to the level where the Chapter 7 Trustee asks what you purchased. This can especially be interesting if you bought an item of personal property -- for example, a computer -- and failed to list it as an asset in your bankruptcy case.

The reason Chapter 7 Trustees ask for bank statements is to see if large sums of money were moved around in the 90+ days preceding the filing of the bankruptcy. If you used the money in order to live, pay for your attorney, and other necessary expenses, it's never of any issue. Just may need to be documented to the Trustee's satisfaction.

I'm curious as to whether you told your attorney about the various purchases and sales.

Thanks for the quick reply!

I did tell the attorney about the eBay sales they are the ones that added it to the section. I’ve seen many eBay topics on here but it’s always had different answers. As for PayPal it had a zero balance at filing and I did get a statement to send the attorney but they haven’t asked for it.

The Amazon stuff never came up. I’m hoping the attorney checked the bank statements and would ask me about it.

I’m a little more shocked that all this wasn’t given before the first meeting.

thanks again for any input as this is really stressful.