Savings account and chapter 7

[izais1102]

Hi Everyone,

I am planning on filing chapter 7 in the next few weeks and have a question...I am due to get my tax return in a week and plan to file with that money. With the remaining money I want to put it away for a rainy day in my savings. If I file for chapter 7 can they take the money out of my savings?

[AngelinaCatHub]

Yes, that is an asset. If it is low, and you use it for essential (exempt) items, it will be ignored. 'Hub

[jribe]

Hi Everyone,

I am planning on filing chapter 7 in the next few weeks and have a question...I am due to get my tax return in a week and plan to file with that money. With the remaining money I want to put it away for a rainy day in my savings. If I file for chapter 7 can they take the money out of my savings?

do you have any exemptions left that you can cover your refund with? Are you using an attorney?

If you can exempt it- that's the best thing to do. Otherwise- some have been advised to spend the refund on exempt items or neccesties before filing..

Good luck

[Duke89]

The money will be considered an asset and if you cannot exempt it you will lose it if you try to keep it. Are you going to be using federal or state exemptions? What you can exempt might change based on the set of rules you will be using. Make sure you understand the song sheet you'll be singing from.