Would This Be Preferrential Payment?

[BkinTX]

Our lawyer told my DH that everything looked good and he didn't forsee any problems for our CH 7 case, but after reading up on bk and browsing the forums here, I see little things that make me worry.

For example:

We had Hypnobirthing classes in December. The fee was $500 which the instructor allowed us to pay out.

We made bi-weekly payments of $20 ($40/mo) until we received our ITR. At that time I paid the balance in full.

I paid the final payment of $360 on March 6th. We filed on April 27th.

Could this be a problem?

[StartingOver08]

No, typically the Trustee is looking for cumulative payments that are at least $600 or more to the same creditor during the 90 days just prior to filing. Even if it totals $600, the Trustee does not necessarily go after the creditor to 'claw back' the payment. And, if the Trustee does, you may not even be aware of it because the Trustee is in direct contact with the creditor, not you, the debtor.

[BkinTX]

Thank you, that's a big relief!

I will be so embarrassed if the Trustee contacts my Hypnobirthing instructor, though!

[AfraidOfBK]

so if i am on several payment plans for medical (doctor visits for my daughter to physical therapy) bills.....i pay like 10 bucks a month. i was going to keep paying...should i stop so it doesnt look preferential? (hoping to file in july, might have to wait longer)

should i pay doctor bills as htey come due if i can afford to? I would like to avoid it going to collections so as to not complicate my bk any further....is this a stupid idea?

[LuciluS]

My husband's medical insurance has a $500 deductible & a $2,500 out of pocket expense before insurance pays $100%.

He spent one week in the hospital this last month. I was planning on paying this $2,500 in May/June, depending on when insurance sends the copy of EOB which states $ amount patient owes.

He received Excellent care from the doctors & the hospital which is a 'For Profit' hospital. I'm concerned if we don't pay the hospital & doctors, they have the right to refuse him treatment, in the future. He has ongoing medical problems.

I also paid around $4,664 in February for dental work that needed to be done. I have letter from Dentist stating such & will need further dental treatment. Was hoping the addt'l treatment would be after our filing date of 9/30/09, but I see dentist Monday as my gums are swollen.

Preferential payments? Maybe my 'thinking process' is wrong, but I just can't phathom a Trustee stating such for Medical Treatment.

Luci

[justbroke]

so if i am on several payment plans for medical (doctor visits for my daughter to physical therapy) bills.....i pay like 10 bucks a month. i was going to keep paying...should i stop so it doesnt look preferential? (hoping to file in july, might have to wait longer)

should i pay doctor bills as htey come due if i can afford to? I would like to avoid it going to collections so as to not complicate my bk any further....is this a stupid idea?

Ten ($10) dollars a month does not a preference make.

This is because you'd never have more than $600 dollars within the prior 90 days (3 months). The most would be $30 over the prior 3-months.

An avoidable preference, is one in which you paid more than $600 dollars to any single creditor within the period that you were insolvent. For purposes of Bankruptcy, you're deemed to be insolvent within the 90 days prior to filing.

I personally don't see any Trustee attempt to avoid (recover) $30 in payments. There's a reason why the limit is $600, because anything less than that costs the Trustee more to recover.