Can I sell assets prior to filing?

[kpminn]

I have sold the assets of my business and will collect receivables and distribute them to creditors proportionate to the debt. I have personal guarantees that may force me to file CH 7 personally. I have some assets that I would like to sell now and make mortgage payments in advance or put funds into my 401K. Can I do this? What debts can I pay in advance of bankruptcy? Credit cards that are jointly held with my spouse? I will also have a tax return before I would file. Can I use these funds?

Thanks in advance!

[frogger]

You're playing what could be a dangerous game with your assets. You really should consult a bk attorney to make sure that you're not creating yourself any problems.

[outofdebt201]

I would agree with the above post. Some assets can be sold off to pay for things like 401k and food. But to truly get correct help and understanding of your issue you will need to at least talk to 3-5 lawyers in your area.

Good luck and post back what your lawyer stated.

[tigergem]

If you are going to file Chapter 7, why on earth would you pay off credit cards?

[music12]

you are not supposed to pay off creditors right before filing. the money you get from selling your assets, or your assets themselves, are to be distributed to creditors by the trustee, not you.