Sorry for monopolizing the conversation . . .

[DebtStinks]

It depends on what you did with the money... paid off a friend then it is in the 1 year look back. If it was spend on just everyday stuff then it won't matter.

[uneasy]

Ok. Well, I did both. Do you think anyone will ask for receipts for what I did with that money? Do I have to account for every dollar?

[frustrated7]

Your best bet is to speak to an attorney. $15,000 is a lot of money, at least where I live, and I would be stunned if a trustee around here wouldn't ask serious questions about where that kind of money went. I realize you are trying to protect your assets, but maybe a Chapter 13 would be more appropriate for you than a Chapter 7.

[uneasy]

Your best bet is to speak to an attorney. $15,000 is a lot of money, at least where I live, and I would be stunned if a trustee around here wouldn't ask serious questions about where that kind of money went. I realize you are trying to protect your assets, but maybe a Chapter 13 would be more appropriate for you than a Chapter 7.

I would very strongly urge you to consider your course of action. Putting the morality of what you are considering aside, you could face legal consequences and be denied discharge. Is it really worth the risk?

No. It certainly isn't. In fact, it's the risks I took that brought me to this point. I don't want to take any unnecessary risks--which is why I am so happy I found this forum and can ask all of my dark, immoral, and illegal questions. I guess I just need to know the culture of the whole bk scene. I don't know what is letter-of-the-law and what is spirit-of-the-law. For example, letter of the law says you'll get a speeding ticket if you drive over 70 mph on the highway. However, in practice, you have to be going 80 (my state) to get pulled over. Everyone knows they shouldn't speed, but almost everyone does.

It sounds to me like bankruptcy is pretty serious letter-of-the-law. I needed to understand that. I have an appointment with a lawyer next week. Hopefully, after the appointment, I'll know exactly what to do.

[CatsInTrouble]

As someone who invoices contracts- as an independent contractor-- I OFTEN OFTEN set my clients up on payment plans to help with my cash flow--and theirs. THis is a pretty common biz practice, right?

So write up a contract with small monthly amounts DUE in certain months (that way you don't have to answer yes to the trustee's question "Does nayone owe you money?" cause, no, they don't owe it to you according to the contract til next month, and then the month after that and etc.).

Again, allowing my clients to pay in installments on large projects is fairly common, so I hope (moderator) that this isn't, like, illegal or even immoral or liable to be removed or whatnot??????

[uneasy]

As someone who invoices contracts- as an independent contractor-- I OFTEN OFTEN set my clients up on payment plans to help with my cash flow--and theirs. THis is a pretty common biz practice, right?

So write up a contract with small monthly amounts DUE in certain months (that way you don't have to answer yes to the trustee's question "Does nayone owe you money?" cause, no, they don't owe it to you according to the contract til next month, and then the month after that and etc.).

Again, allowing my clients to pay in installments on large projects is fairly common, so I hope (moderator) that this isn't, like, illegal or even immoral or liable to be removed or whatnot??????

Hey! I've never done that, but that seems like a really, really good idea! But, technically, wouldn't that still fall under Accounts Receivable? Will the trustee ask if I have any accounts receivable?

[StartingOver08]

Well, I can tell you that the Trustee gets a copy of all of your executory contracts - and that is what you are talking about (IMO) when you have an arrangement to provide a service for payment.

Yes, the Trustee gets ALL receivables as of the filing date. Anything you earn after the filing date is yours, unless you have a spike in income (which is addressed directly to you in the 341).

So, say you have completed an assignment for your client and have an installment billing in place - would the Trustee go after all of the receivable - probably.

[uneasy]

yeah. I was afraid of that.

[StartingOver08]

That's why people try to plan the BK for the six months snapshot that does not include any unusual income spikes (like 401k distributions ) so that when you file you are not arbitrarily shown to have more income than you actually have. It can be a real problem if you have 'uneven' type income, like most of us that are self employed.