My husband and I have a chapter 7 341 meeting next month in California. We both have properties in default which have been previously refinanced. I bought a condo in 2004 when I was single, then refinanced it for an additional $16,000 to $17,000 in 2005, a month before getting married and moving in with hubby. We converted my condo to a rental unit as soon as I moved out. Our bk attorney says the trustee will ask what we spent the refi money on. The problem is, I don't remember exactly where it all went and I don't want to give an answer that will jeapordize our discharge.
The list of possible uses for refinance proceeds are:
1. Portion of Student loan paid off
2. Portion of car loan paid off
3. Honeymoon and wedding expenses
4. Credit card bills paid off
5. Expenses related to converting condo to a rental unit
6. Expenses related to moving in with hubby
Our attorney said the assigned trustee is a "stickler", whatever that means, so what do I say? Is he going to ask for receipts for where the money went? Which, if any, of these expenses would he object to?
My biggest concern is if I used any of the money to pay off my student loans, since student loans aren't dischargeable. If I don't remember exactly where all the money went, how am I supposed to answer the question?
The list of possible uses for refinance proceeds are:
1. Portion of Student loan paid off
2. Portion of car loan paid off
3. Honeymoon and wedding expenses
4. Credit card bills paid off
5. Expenses related to converting condo to a rental unit
6. Expenses related to moving in with hubby
Our attorney said the assigned trustee is a "stickler", whatever that means, so what do I say? Is he going to ask for receipts for where the money went? Which, if any, of these expenses would he object to?
My biggest concern is if I used any of the money to pay off my student loans, since student loans aren't dischargeable. If I don't remember exactly where all the money went, how am I supposed to answer the question?
Comment