UST wants a boatload of paperwork

[mike258]

UST wants the following:

2 years cc statements
1 years of bank statements and checks
copies of all loan agreements past 3 years (with applications)
6 months of paystubs
3 years tax returns
etc., etc.


Luckily I was prepared for this and have 90% of it ready.

[DustinLH00]

Is this for a Ch 7 or 13? Any idea why all the extra work? How long did they give you?

[mike258]

Is this for a Ch 7 or 13? Any idea why all the extra work? How long did they give you?

I filed a Chapter 7 and they gave me 30 days to get the paperwork. The date I need to turn in the paperwork is after my scheduled 341.

I have 185K+ in unsecured debt, that's probably why they requested everything. My lawyer told me to expect it so I prepared ahead of time. One thing I don't have is a copy of my car loan application. I wonder how hard that will be to get...

[justbroke]

II have 185K+ in unsecured debt, that's probably why they requested everything. My lawyer told me to expect it so I prepared ahead of time. One thing I don't have is a copy of my car loan application. I wonder how hard that will be to get...

Yup... that would do it. That's significantly over the unofficial $100K threshold for scrutiny.

[DustinLH00]

One thing I don't have is a copy of my car loan application. I wonder how hard that will be to get...

Shouldn't be too hard. Lenders are required by law to retain your application with your loan file. You should be able to request it from them. Make sure you give them a deadline.

[anuta]

If I should start another thread on this please let me know--but my queston does relate to the US trustee. We have over 300K unsecured debt--so, I am imagining that lots of flags with be waving over this. We should be fine as far as a chapter 7 and plan to file in Aug.

My concern is this--If the UST asks for the past 2 years of CC statements--we only have 2007 statements and earlier. Only Discover has faithfuly sent a statement every month--other than that, all the cc's we have not been paying for about a year ( and some much longer) have stopped sending statements. Do I take the collection letters instead of the non existant statements, should the UST be involved and ask for them?

I've been having kind of a bad day and running through my mind is the possibility of the UST. No problem providing tax returns for as far back as necessary, I can provide monthly profit & loss statements instead of paystubs (self employed) only one secured loan for 80K and have all paperwork--just fretting over how to provide cc statements.

Boy--can I worry or what--hasn't even happened and I'm fretting

What are they looking for anyway? High end items? Fancy trips?

[justbroke]

My concern is this--If the UST asks for the past 2 years of CC statements--we only have 2007 statements and earlier. Only Discover has faithfuly sent a statement every month--other than that, all the cc's we have not been paying for about a year ( and some much longer) have stopped sending statements. Do I take the collection letters instead of the non existant statements, should the UST be involved and ask for them?

If you don't have 2 years of statements, then you give your lawyer a note telling him that you stopped paying them 2 years ago.

What the Trustee is looking for in these cases, is whether you ran up the cards just before filing, or recklessly used credit, while insolvent. If you haven't used cards in 2 years... there's nothing to really see.

What are they looking for anyway? High end items? Fancy trips?

Reckless spending pattern when you are insolvent. This is an attempt to look at the "bad faith" and "totality of circumstances" objection that the U.S. Trustee can make. They usually do this much research into statements for people with significant unsecured debt (> $100K, generally).

[anuta]

Thanks Justbroke.

[SuzieBK]

I filed a Chapter 7 and they gave me 30 days to get the paperwork. The date I need to turn in the paperwork is after my scheduled 341...

How long after you filed did you find out that the UST was involved and wanted all this paperwork? Did you already have the scheduled date for your 341?

We're three weeks out from our 341 and so far there hasn't been anything on PACER, but I don't know how soon people find out about the UST involvement.

[Klesko]

If you don't have 2 years of statements, then you give your lawyer a note telling him that you stopped paying them 2 years ago.

What the Trustee is looking for in these cases, is whether you ran up the cards just before filing, or recklessly used credit, while insolvent. If you haven't used cards in 2 years... there's nothing to really see.

Reckless spending pattern when you are insolvent. This is an attempt to look at the "bad faith" and "totality of circumstances" objection that the U.S. Trustee can make. They usually do this much research into statements for people with significant unsecured debt (> $100K, generally).

What if you stopped paying on the cards say a year ago and you dont have most if not any statements? We moved recently and I cannot find my statement folder I had.

Also same with credit card, and car applciations, we dont have those anymore either.

All we really have at this point is I am keeping non duplicate letters from any CA so we know who to include on the creditors sheet.

We are going to discharge about 120-130k in unsecured debt.

Hopefully we wont be audited but I want to be as ready as possible.

[justbroke]

What if you stopped paying on the cards say a year ago and you dont have most if not any statements? We moved recently and I cannot find my statement folder I had.

That's just it, you'd have to go back to the credit card issuer for those statements.

I don't have any of those applications either (90% done online!). I certainly don't have 2 years of credit card statements (stopped paying 2 years ago!). Would be difficult for me.

[mamaluv]

How long after you filed did you find out that the UST was involved and wanted all this paperwork? Did you already have the scheduled date for your 341?

We're three weeks out from our 341 and so far there hasn't been anything on PACER, but I don't know how soon people find out about the UST involvement.

Looks like OP just filed on 6/9

[Klesko]

That's just it, you'd have to go back to the credit card issuer for those statements.

I don't have any of those applications either (90% done online!). I certainly don't have 2 years of credit card statements (stopped paying 2 years ago!). Would be difficult for me.

Lol I dont want to call them of course because we are discharging like 15 credit cards and I can only imagine they will send me to their collections department when I call and not even offer to send statements.

[SuzieBK]

Looks like OP just filed on 6/9

That makes me feel marginally more secure. We filed 5/27 (two weeks before the OP) and haven't heard anything, so fingers crossed, we're flying under the radar.

[mamaluv]

That makes me feel marginally more secure. We filed 5/27 (two weeks before the OP) and haven't heard anything, so fingers crossed, we're flying under the radar.

I am there with you...filed on 5/29 with $127k unsecured and I haven't heard anything either.