Chapter 7 and bank statements.

[Jackdog]

I'm in Florida and concerned about how many months back of bank statements the Trustee will want to see. I spent more than I should of at an online gambling site. I used funds through my checking account not a credit card. I have since closed the checking account today because it's Chase and I have credit cards with them and worry about them taking money out to pay cards once I stop paying. I plan to open a new checking account on Monday. If I file in April or May and my 341 (filing chapter 7) isn't until say June do I have to show bank statements for the closed checking acct with Chase?

Thank You.

[blessed]

I'm in Ohio and we had to give 3 months of statements for all bank accounts. And for the 341 meeting we're supposed to bring a print out of every account's balance on the date of filing. Nothing else has been asked of us, yet.

[coolmom04]

I'm in NC and like Blessed, we had to provide three months (Dec, Jan, & Feb) but we also had to provide a printout of transactions from the last statement until the date we filed. We are to bring our next statements to the 341 and also a copy of any transactions up until the 341 meeting.

[bobbyquefour]

I'm in Florida too (Tampa area) and was required to provide 6 months of statements to both my attorney and the trustee required this as well to be sent.

[Jackdog]

Now I'm worried that I should just suck it up until summer and keep making payments. I never used my credit cards for the online gambling but I did use my bank account. At first I won then lost and lost a good amount. My intention was never to commit fraud. Just after I won I got addicted and had some pipe dream that this could be the way to get out of all this debt. Should I just suck it up at this point and keep paying the bills for the next six months then consider filing. I've struggled this long I can stay afloat and just skimp by for 6 more months. I'm terrified of doing it now going to 341 and Trustee saying you didn't have money to pay your CC's but you had money to spend at online gambling sites?

[newbie2]

Now I'm worried that I should just suck it up until summer and keep making payments. I never used my credit cards for the online gambling but I did use my bank account. At first I won then lost and lost a good amount. My intention was never to commit fraud. Just after I won I got addicted and had some pipe dream that this could be the way to get out of all this debt. Should I just suck it up at this point and keep paying the bills for the next six months then consider filing. I've struggled this long I can stay afloat and just skimp by for 6 more months. I'm terrified of doing it now going to 341 and Trustee saying you didn't have money to pay your CC's but you had money to spend at online gambling sites?

Please don't stress about this. There have been many forum members who have had gambling withdrawals on their bank statements and not once were they an issue. When the trustee looks at your bank statements they are looking for deposits out of the norm (to double check your stated income) and withdrawals that could possibly be insider payments or hiding assets. I haven't heard of a trustee yet that questioned a gambling withdrawal.

[Jackdog]

Yeah but for the beginning of March. I went a little crazy. I was desperate. At that point bankruptcy wasn't even crossing my mind because I thought I'd lose my house. My bank account is in the negative. Due to the online casino and then Chase's (my horrible bank acct..God I miss WAMU) overdraft fees. I don't want this to come back and haunt me. I just started online gambling back in December. I'm done with it. I was just so desperate and after I won I thought if I can just keep winning and paying off debt. Which is what I did do when I was able to cash out I put most of the winnings towards a credit card. If the Trustee would look say the past 2 years he would see that each month I have been scrapping by then just made a stupid mistake. I make far below the median income for my state but him seeing my March statement terrifies me. How I managed to last this long month by month blows me away. My biggest fear is the Trustee will look at March and Aprils statement and tell me to sell my house and pay off my credit card debt.

[HakunaMatata]

Many people file BK because they made poor financial decisions. Some lived beyond their means, some had bad business investments, some became prey to the world of gambling, etc. You used YOUR money to gamble because you were duped into believing this method could propel you out of debt. This is akin to the person who bought an "investment" property that became a liability.

Gambling debt isn't a new concept to Trustees. I work in the gaming industry (no, I don't gamble) and I witness the harsh effects of the pipedream-gone-bad daily. While awaiting my 341, I observed an elderly couple with gambling debt. The Trustee non-aggressively questioned this debt. He inquired about the past amount ($40k), the current amount ($20k), the games they played, and asked if they thought they were "lucky". The couple was successfully discharged (we had the same attorney).

Trustees aren't financial counselors, they can't cure addictions, and they can't retroactively dictate how you spent your funds. They can simply follow BK laws and procedures. If you fall into the C7 framework and your house is exempt, a Trustee can't force a sale based on your poor past financial decisions. While BK eliminates former financial woes, BK should be viewed as a forward-thinking step, a new beginning, a fresh start.

It appears you've learned an important lesson...gaming is designed to sell a magnificent dream which, statistically, becomes a nightmare. Wishing you great success moving financially forward!