Filing Chapter 7 - Bank Accounts

[digitalcance]

So there's no way around it at this point and have decided to file for Ch. 7.

My fiance' and I JUST opened a 'joint' checking account at a local credit union here in town, what should I do? My BR should be filed by Friday and need to know.

If I can somehow take my name off the account, would the BR prevent me from putting my name back on it with her??

If I just keep a minimum balance (how much should this be, $25-30, $100?) would I be ok then?

Please help as i'm in a crunch.

Thanks!

[zscfan]

Hello and welcome to the forum. I cannot offer expert advice, but I would keep the balances at a minimum, and whatever money you do take out, whether it be through ATM, check, etc. be spent on necessities, food, gas, utilities, etc.

I believe, even if you take the name off the account, you might still have to disclose it on the BK papers.


However, it depends on your state. I am in CA, and my lawyer exempted $1,200 in my checking (I had just gotten paid). You need to check your state's cash exemptions.

Good luck!

[digitalcance]

Also note...we are direct deposit. Does that mean I could run down to the bank on the day that we get paid and pull out the appropriate amount? Also, my fiance' is not going to be filing BR and her name isn't on any of my debt.

[AngelinaCatHub]

You cannot take a name off of any bank account. You must close the account and reopen the account. There is some sort of rules on this that were not always there as I did this after divorce in my Credit Union. They could be different. Don't commingle your fiances monies now, and keep a low balance. Attempt to stop direct deposit or keep very good records of your necessities. Mention every bank account. They will take your word, but if you miss one, things seem to pop up by surprise and you don't want that to happen. 'Hub

[digitalcance]

Ok...I can't seem to find an 'exemption' for my state of Indiana. Sorry if I'm slow, i'm really not used to this Bankruptcy stuff and thought i'd never have to file.
I just need to know how much money needs to stay in 'our' bank account because we do have other bills to pay and i'm trying to get a different car (with cash, around $1000-1500) so that I can get back and forth to work.

[Absolutely]

I stopped my direct deposit for a couple of months before filing (wasn't totally sure when it would happen) and did money orders, etc., and went cash-only for a long time...It's nice to be able to use the bank again, but it wasn't impossible to get the bills paid with cash--walmart had money orders for 19 cents. I must say, having cash-only and envelopes was a great way to work out a new budget.

[maddog2112]

I know your suppose to reveal all banking information to the trustee, but realisticaly, how would he ever know of some obscure bank account you have somewhere unless you tell him about it?