Disaster strikes shortly after 341

[NewHamp1]

Hi! My husband and I filed for Ch7 11/7/09. We had our 341 on Dec. 14 (originally scheduled 12/7 snowstorm hit). We filed because medical bills from my adventure with breast cancer wiped us out. On Jan. 12, 2010 my husband was diagnosed with cancer, on Jan. 20th we learned it is pancreatic cancer. On 2/5 we were told he has only a few months to live. He is on hospice. we are living on short term disability, due to convert to long term in 2 weeks, at only 65% of his pay.

We were transferred by his work 2 years ago, and know very few people here, none well enough to ask for help when I need it. My husband's only wish is to return to his hometown in a different state to be near family and friends. Long story short, I found out we can get some of his life insurance early, so I applied for it. I didn't even think about the BK, like an idiot. We found a place (with help from cousins), put down a deposit. I'm serious, all I've thought about is trying to make my husband's last months as happy as possible.

Now we have money coming--well the insurance company opens a money market account and sends us checks--and a move to plan. we are renting now, and I explained to the landlord. He's letting us out of the lease, very, very nice. On the long term disability we couldn't afford the rent, anyway.

I called our lawyer and asked him about the $ (didn't tell him I already requested it, too afraid). He said to wait until May. I just can't wait. My husband is still able to get around a little, but is getting thinner and weaker daily. the lawyer did say I can't have a big check coming in to our checking account.

So, finally (sorry for long explanation) I called the BK clerk, and she said our discharge will go through the end of March, and it will be closed then. Now I'm in a panic that they'll see that money (though insurance account is in PA) and seize it, and we'll be on the streets.

Please HELP!

[Flamingo]

Contact your attorney again and come clean with your situation. I am sorry to hear of your situation and hope all works out for both of you.

[mickeyme]

This is just horrible. I would think that you should be fine as you have justification for pulling the money and life ins is excluded in BK. I could be wrong but it would only make sense as you are using the money for what it was intended for.

Call your attorney and be as honest as possible...you have to protect yourself and your attorney can not do that if he/she does not have the correct info.

Good luck.

[aces67]

I'm so sorry to hear this. ((HUGS)) I'd call your attorney back and just tell him exactly what you've told us.

[dakota112]

This is indeed very sad. I feel you should have all this money and for goodness sakes take care of yourself and your husband. Unfortunately I don't think you will get much sympathy, compassion, or empathy from the people you are involved with in processing your bankruptcy. It is all about money and your situation will fall on deaf ears.
I wish you all the best.

[Dst1]

This is indeed very sad. I feel you should have all this money and for goodness sakes take care of yourself and your husband. Unfortunately I don't think you will get much sympathy, compassion, or empathy from the people you are involved with in processing your bankruptcy. It is all about money and your situation will fall on deaf ears.
I wish you all the best.

I don't agree with that. It is of course possible but there is such a thing as "exceptional circumstances". I think this qualifies.

[DeadManCrawling]

First, I am very sorry for all you have been through and are still going through, and will be going through. Both of you.

Second: How much money are we talking about?

And what was the dollar amount in debts being discharged?

What state?

If you can share the numbers, we might be able to offer better advice. The ultimate advice is talk to your attorney, of course, but sharing the numbers might help us offer scenarios to talk about.

Again, my most incredibly sincere condolences to you and your husband. I cannot even comprehend the depth of this tragedy, and am simply thunderstruck that you have been through so much.

[music12]

oh, gosh. sorry for your pain.

since you already applied for the money and it's coming, and you can't stop it, and your attorney (not knowing this) said to wait 'till May, at this stage maybe it's best to say nothing to your attorney or anyone else. trustees don't go looking at your bank account (they'd ask you for it if they needed to), so they'd never know unless you tell them. the important question is: at your 341, did your trustee tell you to let him/her know if you get life insurance over the next few months? some trustees explicitly say so. if they did, it's on the record and you are screwed. if not, and somebody ever finds out and asks you, you can honestly say you didn't know it was relevant to the bk (obviously you didn't!).

the law aside, there is just no way any human being would fault you.

good luck. doctors are often wrong in predicting how long someone has to live. i hope that will be the case here too.

[LALADY]

I am so sorry to hear about your husband. I'll pray that God comforts him in the months to come, and that He provides for you as you deal with your BK and keeps you cancer free.

[sjcmCA]

Oh.....I am really sorry to hear that. I will pray for you and your husband.
{hug} {hug}

[olivies]

I am very sorry for all your pain, and yes I agree with a previous poster that there "exceptional circumstances" allowed and I would think if this wasn't exceptional than nothing is.

Keeping you and your family in my prayers.

[kudumaned]

My thoughts and prayers are with you and your husband. May God bless you in your moment of need. Be honest with your attorney and do what you have to. Good luck.

[NewHamp1]

Thank you!

Thank you all, so very much for your kind advice and prayers.

We went to chemo today, and when we came home there was a letter from the lawyer. Our BK has been discharged and closed!!!! Hooray!

Music12, our trustee didn't say anything about life insurance, and we sure didn't know what was coming at the 341 hearing. So, I'm going to take it that we slid by. At this point, if they come back after me later, I'll just tell the truth. When I requested the early disbursement, the only thought in my mind was taking care of my husband. We didn't receive the funds before the discharge, so I'm not going to feel guilty about it.

I did look it up last night, and life insurance proceeds are listed as exempt in NH, but maybe the early disbursement wouldn't be.

Regardless, I'm doing a happy dance, and going to get packing.
Thanks, Again!!!!

[sjcmCA]

Thank you all, so very much for your kind advice and prayers.

We went to chemo today, and when we came home there was a letter from the lawyer. Our BK has been discharged and closed!!!! Hooray!

Music12, our trustee didn't say anything about life insurance, and we sure didn't know what was coming at the 341 hearing. So, I'm going to take it that we slid by. At this point, if they come back after me later, I'll just tell the truth. When I requested the early disbursement, the only thought in my mind was taking care of my husband. We didn't receive the funds before the discharge, so I'm not going to feel guilty about it.

I did look it up last night, and life insurance proceeds are listed as exempt in NH, but maybe the early disbursement wouldn't be.

Regardless, I'm doing a happy dance, and going to get packing.
Thanks, Again!!!!

What a dramatic timing! I am really glad as like mine.

We still keep you and you husband in prayers.

[music12]

if your state exempts it, then you're golden even if the check came before discharge. now, best wishes for your future.