Checking account balance

[Cassopher]

During my first consultation with my attorney he asked why I had so much money in my checking account. I stated to him that it was because I hadn't paid my creditors that month as I was told to him prior to the consultation through email. He stated if I paid my creditors prior to the meeting I could possibly be throwing my money away. My question is pertaining to our 341 meeting and how much money is "too much" money to have in your account when you present your bank statements to the trustee??

[justbroke]

For a Chapter 13, there really is not "too" much money, but there are cases where a Chapter 13 Trustee has instructed debtors to take out their checkbook and write a check for the balance! (This never happened to me and it may just be bankruptcy folklore.) Logically speaking, you should not have any more money in the checking/savings account than you can exempt using your State's or the Federal bankruptcy exemptions.

The solution is simple, ask your attorney about spending down the amount if it's considerable (guessing something $1,000).