When can I safely pay my mom back and how soon can I start using bank account again?

[goblue]

finally. We are getting close to filing Chapter 7 (last week of January/first week of February).

I owe my parents some money for emergencies that popped up while my husband wasn't making any money. When can I safely pay them back? I think the attorney said after I file -- but do I really need to wait until the 341 meeting or discharge? (I will confirm again with him, but wanted to get your input sooner!)

Also, I have a lot of credit card debt with Chase. I also have a checking account that has a whopping $3.06 left in it. I tried other banks, but really prefer Chase. When can I safely start using that checking account again?

TIA! I hope everyone has a wonderful 2010!!!

[AngelinaCat]

Since you have an attorney, you are paying him for his advice on repaying the parents. If he says it is okay to repay them after you file, then he must be familiar with the way the trustees and the local rules of your district operates. If it was me, I'd wait until at least AFTER the 341, and actually would prefer waiting until you are Discharged.

As to the Chase checking account, you can use it, but understand that you run the risk of them raiding your checking account to satisfy the CC debt--even though the Automatic Stay would and should be in place. You might want to do a search on Chase Bank and see what other posters have to say.

Good luck to you!

[AngelinaCatHub]

Since you have an attorney, you are paying him for his advice on repaying the parents. If he says it is okay to repay them after you file, then he must be familiar with the way the trustees and the local rules of your district operates. If it was me, I'd wait until at least AFTER the 341, and actually would prefer waiting until you are Discharged.

As to the Chase checking account, you can use it, but understand that you run the risk of them raiding your checking account to satisfy the CC debt--even though the Automatic Stay would and should be in place. You might want to do a search on Chase Bank and see what other posters have to say.

Good luck to you!

Well understand; I HAVE to agree with Mrs. but yes that is exactly what I would do as well. Once you are discharged you are on your own. Otherwise your Trustee owns everything you own, borrow and pay. Don't take the chance. 'Hub

[Stilltheone]

Before our filing, we had our checking account with US Bank, along with a checking account "reserve" line and 2 credit cards with them. They refused to close the account because we "owed" on the reserve line, which was included in bankruptcy.

I kid you not, the first deposit that went in accidentially after our bankruptcy filing, they took out $500 to pay off our reserve line. It took several phone calls to US Bank and finally ONE to our attorney before they put it back. They had received the notice and were NOT allowed to take the money, but did it anyways.

If I were you, I would dump Chase and start over completely, preferrably at a credit union. Be prepared that if you don't, Chase might raid your bank account for your credit account payments.

[AngelinaCatHub]

Before our filing, we had our checking account with US Bank, along with a checking account "reserve" line and 2 credit cards with them. They refused to close the account because we "owed" on the reserve line, which was included in bankruptcy.

I kid you not, the first deposit that went in accidentially after our bankruptcy filing, they took out $500 to pay off our reserve line. It took several phone calls to US Bank and finally ONE to our attorney before they put it back. They had received the notice and were NOT allowed to take the money, but did it anyways.

If I were you, I would dump Chase and start over completely, preferrably at a credit union. Be prepared that if you don't, Chase might raid your bank account for your credit account payments.

I tend to strongly agree. I being conservative, tend to be safer than sorry later. 'Hub

[pa308]

finally. We are getting close to filing Chapter 7 (last week of January/first week of February).

I owe my parents some money for emergencies that popped up while my husband wasn't making any money. When can I safely pay them back? I think the attorney said after I file -- but do I really need to wait until the 341 meeting or discharge? (I will confirm again with him, but wanted to get your input sooner!)

Also, I have a lot of credit card debt with Chase. I also have a checking account that has a whopping $3.06 left in it. I tried other banks, but really prefer Chase. When can I safely start using that checking account again?

TIA! I hope everyone has a wonderful 2010!!!

I agree with everyone else in that you should confirm with your atty on how to proceed in paying back parents. I had same situation as you where in laws had given us some money to help us, not a loan but I wanted to give it back (about 1500). Our atty advised it would be best to wait until after discharge which we did.

During the 341 the ttee may ask if you've paid any insiders and wouldnt it ease your mind to say no honestly

Best of luck to you with everything, take your time and get through this and you'll be stronger on the other side.

[DebtHater]

I tried other banks, but really prefer Chase.

Just curious, what do you like about Chase?

Personally I've found that the best banks are the local savings banks or credit unions. I will admit, I've never used Chase for checking or savings but I had other big name banks in the past and their interest rates can't compare to the credit union I currently use for both checking and savings. Right now my savings APR is .5% and checking APR is .25%. I think at Wachovia my savings APR was less and no interests on checking.

[music12]

i'd wait until discharge to pay back, and i'd stay away from chase. i don't know why you like chase in particular. all banks seem to be the same to me, they just differ in the kinds of fees they charge, that's all.

[goblue]

Thanks for your replies. I really like the way Chase's online bill pay works. I've tried Fifth Third and TCF and really dislike their systems. Plus, Chase is everywhere around us so easier to find ATM machines.

After discharge, Chase can't touch my accounts, right? I can certainly wait it out

Happy New Year!!!

[munchkn813]

My husbands parents and my mom have given us lots of money over the past year that we would like to repay some of (it was a gift though, so we don't have to, but want to) and when this came up with my lawyer he said don't give them or anyone else a penny until the bk is completly over with so that it's not taken and then we would have to repay them. I do want to pay off medical bills rather regardless of the bk and he said for those I could continue to pay on to try and get them paid off, but no large payments like hundreds of dollars. To continue the small payments like I have been doing (or even doubling that now that I have a bit of extra money from not paying credit cards) would raise no red flags though.
Good luck with everything!

[BKdinOhio]

We have Chase and we didn't have a single problem during our BK. We BKed 2 CCs with them, a HELOC and they didn't do anything to us.

And they are barred by the Discharge from attempting to collect. They can face serious fines for doing so.

[backtoschool]

I would wait until after discharge to pay your parents back. The trustee may come after them for the money you pay them if you don't wait.

[Stilltheone]

After discharge, Chase can't touch my accounts, right? I can certainly wait it out

Happy New Year!!!

Not necessarily. As I stated above, we had US Bank. US Bank refuses to close our checking account because we "owe" them a balance on our reserve line.

When our state tax return was accidentially deposited almost 8 months AFTER discharge into our US Bank checking account, they took the payment again. After many calls, we got the money back AGAIN.

Don't think that just because you're discharged, Chase will leave your account alone. Again, I'd start over somewhere else completely. Not worth the worry or the hassle, especially if they DO take money out.