Money in Checking When Filing

[HMK]

We had our first BK meeting today, called a 341. We were very nervous, but things went fine until the Trustee informed us that on the date of filing we had more than the $300 allowed in our checking. Neither my husband or I remember the lawyer telling us that the checking had to be under $300 at time of filing. And what about the intial $700 check we sent him with BK filing paperwork. Doesn't that screw us if he didn't cash the check before filing? And what does having $300+ in checking mean for us? We can barely afford our house payment. Is there a difference between states? We filed in AZ. Obviously, I am worried and not completely understanding everything.
Thanks for answering.
HMK

[falken]

Sounds like your lawyer did not prepare you very well!
Quickly checking the AZ exemptions it looks like you are only allowed $300. If you sent your lawyer a $700 check but it had not yet cleared, it doesn't count.

If you had say $1000 in your account at filing the trustee can demand you pay him $700.

The lawyer should have told you to pay him in cash or cashiers check and to spend down any money you had over $300 on living expenses.

[JRScott]

Just because you were over does not mean he'll take it. There is usually a certain minimum Trustees look for to make it worth their time. As such if he doesn't consider it worth his time he will absolve his interest in the checking account amount.

You should contact your lawyer with this concern and see what can be done or what your options are. If you do have to pay it back to the trustee it is likely he'll offer a payment plan.

[PdxDavid]

That is an insanely low amount or in Oregon we have an insanely high amount. Reading the exemptions for Oregon it says you can have $7500. x2 for married.

[falken]

If you can use federal and have little equity in your home you can have up to $22,100 if filing jointly.

[Naomi]

Quickly checking the AZ exemptions it looks like you are only allowed $300.

I'm in GA and don't see where it says anything about money allowed on the day of filing?

http://www.thebankruptcysite.org/exemptions/georgia.html

[cetiya]

i had a bunch of money in my account, i couldnt get a real date from my lawyer as to when he was going to file. but it was exempt, so it didnt matter. it was less than or around 500.