Frozen bank accounts and CH13

[walkthaplank]

I am wondering, if I file for CH13 will the account I have with a certain bank that I owe money to be frozen? I've heard about accounts being frozen, but I'm unsure if that is a CH7 thing or universal BK thing.

I have another account that I set up with a bank that I have no other accounts with just in case, and that is where my paychecks are going, but one of the debts my wife has that we are including in BK is a checking account that was reported to chexsystems and now we can't get a joint account at this bank. We do have a joint account with the one bank that I have a debt with and I'd like to keep them open until we can clear up my wife's issues. If you need to know, our joint account is at B of A.

Thanks

[woeisme]

Once the stay is in place, they shouldn't be able to freeze your account. It's prior to the filing that I'd worry about.

My husband and I have business power of attorneys for each other, so while we keep separate bank accounts, if I ever needed to get $ from his account I just need to take the paperwork down to the bank with me and I can access it just like it was a joint account. This kind of thing isn't for everyone (you have to trust that your spouse wouldn't clean you out and go to Mexico on a fling!) but if you trust to the point of putting your $ in a joint account, this would be another way around the chexsystem issues allowing your wife access to your single account.

[getmeouttahere]

Not sure if this helps answer your initial question. But, we too, have a joint checking and savings acct, and 2 CC's (that were included in the BK) at B of A. Our acct was never frozen. We were 2 months behind in CC payments before we actually filed.

[ccfriend]

Credit Unions do things differently. I had a checking account and savings account and without warning they froze my accounts. I was able to withdraw the money that was in the account but I was not able to use the accounts anymore. I still have my auto loan with them and it is in good standing, but because of my VISA with them was in the BK my account was not usable.

[liz417]

I was advised by 3 attorneys to change banks, so I finally did on Sat. I plan on filing BK on Chase (27k) and since they aquired Wamu and nothing will probably happen...I just couldn't afford to take the chance of the account being frozen or anything...

[walkthaplank]

I'm going to keep the separate account until after the plan is confirmed just to be safe.

[tkharvey]

We had a second and LARGE credit card balance with the same bank we had our checking/savings (what was left of our savings) and our attorney told us to change accounts IMMEDIATELY. So we did....just in case.

[krielly]

Wish we had known this could happen back when we filed in 2005. Our CU froze our accounts. The automatic stay did NOT prevent this. The CU asserted they had "not taken the money, they simply had frozen it". CUs generally have cross-collateralization clauses which allow them to do this.

Better safe than sorry!!!

K