Assets, what do you have to give up?

[StaciMM]

So did anyone search back and find the desk thread? It was a good one...

yes trustees love desks lol. im still trying to teach staci this one.

All I want to say, on a serious note, is don't do anything questionable. If you try to pull one over on the trustee, you might end up regretting it. If you're going to put that much time & trouble into planning ahead, just move to a state that alllows you to choose the federal exemptions. Stay there long enough to file (2 years now I think) and you'll be set. Fed. allows you to claim over $10,000 in Wild Card plus your personal belongings, car, jewelry, etc.

[bkfiler]

"...marks where the baby grand set..."

R O F L M A O ! ! !

moving to another state is quite extreme. you prob dont want to do that do you? if not then start getting free advice and appt form attorneys. do not pay them. it goes on record and you have to put that down in your BK papers as the first time you knew you weer going to file a bk. nice little trick they pull on you there.

as staci said and we always say, never ever lie to the court. ever. if you are caught in one single lie then its over for you. your credibility is out the door faster then when i first walk into a massage booth.

[AAAArt]

[QUOTE=bkfiler
your credibility is out the door faster then when i first walk into a massage booth.
[/QUOTE]

Huhh??? Does that mean that you've named yours "credibility". Oh incredible one??? This forum gets wierder by the day and I'm here to help. Art

[KevinR]

Fed. allows you to claim over $10,000 in Wild Card plus your personal belongings, car, jewelry, etc.

Really? It looked to me like it was a little less than that, and almost all of it had to come from your homestead exemption. In my case if we both filed we'd have a hard time exempting much more than the house and car, at least the way I'm reading it.

I can choose fed exemptions in PA if I so desire. However, I *think* that if only I file most if not all of our assets are automatically exempt. The only thing they could touch are things that I hold the sole title to, which is nothing. Also, I just confirmed that the great majority of our credit card debt is solely in my name.

Additionally, I have no job and no good prospects. I've been out of real work for six months, during which time I've been trying to run a business of my own. That has failed miserably, and on paper at least I have $25,000 in debt from that alone. Add roughly another $25,000 on credit cards. My wife brings in roughly $1000/month in income, and our basic living expenses come to $1600/month or so (that's ignoring any debt). I can get a job of some kind, and plan to do so, but even if I get a good job in my chosen field (computers, not likely) I still will be lucky to break even each month.

If I file alone I can wipe virtually all our debt away. If I can keep the important assets (house, car) I'll be happy.

[Scooter]

I was told the same & was I suprised!

How detailed do they get when looking at your assets? Car, house obviously, but what about other stuff? TV's, stereos, furniture, collectibles, yadda yadda yadda.

Is there some dollar value they're looking for before they care about a given asset, or do they simply look for anything they think would sell? I've got a home theater with stuff that's realistically worth maybe $2500, my wife has an antique Chinese desk that is worth several thousand at least, various collectibles worth probably thousands if they're added up, a few power tools I don't care to lose, and so on. I don't really see anything in the exemptions list that covers stuff like that outside of the wildcard. So is it up for grabs?

I filed pro se, don't have much of anything, and expected the trustee wouldn't bother with my junk. We'll, I was suprised. He starts out asking if I have a gun. Response: Yes, 30 yrs old, 410 single shot, value $20. Have any computers? Yes, ten years old, broken, value maybe $75. Golf clubs? Yes, 27years old, left handed, value $30. He continued with his list of questions....

He then informed me that these items are not exempt in my state, and that I will need to deliver them to a central location where they will be auctioned off. Granted, its a small price to pay for getting thru chap 7, but I was surprised that the trustee even bothered with this old junk.

[JimH]

I filed pro se, don't have much of anything, and expected the trustee wouldn't bother with my junk. We'll, I was suprised. He starts out asking if I have a gun. Response: Yes, 30 yrs old, 410 single shot, value $20. Have any computers? Yes, ten years old, broken, value maybe $75. Golf clubs? Yes, 27years old, left handed, value $30. He continued with his list of questions....

He then informed me that these items are not exempt in my state, and that I will need to deliver them to a central location where they will be auctioned off. Granted, its a small price to pay for getting thru chap 7, but I was surprised that the trustee even bothered with this old junk.

Were these items on your list? Was he making a point?

[Scooter]

Reply to Jim H

Were these items on your list? Was he making a point?

Yes, all of the items he asked about were on the list. I thought the same, why is he asking the obvious. I don't think he was making any point. I think it was his way of picking up the "penny" items which add up over time. The bk filers apparently have to drop the stuff off at a central location.

Strangest question was "When you receive your paycheck, are you current regarding your hours worked, or does your paycheck lag your hours worked by 1-2 weeks."

I'm still trying to figure out his motive for this question. Any ideas?

[bkfiler]

probably a general question having to do with how much you should have based on when you filed and how much you say you had and your expenses.

when you match everything then its easier to see whats true.

[Genenco]

Yes, all of the items he asked about were on the list. I thought the same, why is he asking the obvious. I don't think he was making any point. I think it was his way of picking up the "penny" items which add up over time. The bk filers apparently have to drop the stuff off at a central location.

Strangest question was "When you receive your paycheck, are you current regarding your hours worked, or does your paycheck lag your hours worked by 1-2 weeks."

I'm still trying to figure out his motive for this question. Any ideas?

Just another grab for $$$...I lag 40 hours...

[grandcru]

Don't mean to hijack the thread but say I have belongings such as computer equipment (monitors, hard drives) and other high value electronics (music recording equipment for a home studio). I've never generated any income from its use (I hope to eventually) but it is my current field of study. Would I be able to keep those items under a "tools of trade" exempt?

[Genenco]

Don't mean to hijack the thread but say I have belongings such as computer equipment (monitors, hard drives) and other high value electronics (music recording equipment for a home studio). I've never generated any income from its use (I hope to eventually) but it is my current field of study. Would I be able to keep those items under a "tools of trade" exempt?

Well, I know it's of little help, but seeking (FREE FREE FREE!!) the advice of an lawyer familiar with this is not a bad start...Also doing a bit of reading on BK for small start up companies...(Did you know 1 business fails every 20 seconds in the US? Most of course are small companies) It could be seen as "Tools of Trade" or even "School Supplies" the attorney would know the real (Lord I hope so as I am hearing about so MUCH incompentence!) truth!!

Keep coming back!!

[JimH]

Don't mean to hijack the thread but say I have belongings such as computer equipment (monitors, hard drives) and other high value electronics (music recording equipment for a home studio). I've never generated any income from its use (I hope to eventually) but it is my current field of study. Would I be able to keep those items under a "tools of trade" exempt?

If you don't have other tools of the trade, then I would try to use the exemption for that. You'll have to go out of your way to justify this since you aren't making income from them. You'll probably lose the items if they look more like "tools of the hobby" but if you are taking this in college that probably won't happen. You could also file a dba (doing business as) form with your state and take out a dba checking acct. Won't cost much and will give the appearance that you are getting a side business off the ground. That would make it difficult for the trustee to say they weren't tools of the trade.

[KevinR]

Oh boy, this is not going to go over well.

I talked to a lawyer, and I'm clearly able to file Chapter 7. In fact he said this is the perfect time to file, according to my last six months of income history and what's likely to happen in the next few months.

The down side is my business. It's what pushed me under, and all of the equipment in it is not mine. A friend let me take the place over, and keep the assets on a verbal agreement to pay her back. Now I can't pay that bill, among others, and have to file BK. I assumed the assets went back to her.

Not so, says my lawyer. What she had with me was an unsecured agreement. Of course if I don't pay she could sue me in civil court and probably win. BUT, with out a security agreement in writing she CANNOT take the assets back. They're mine. Which means I will have to surrender them when filing BK.

She is NOT going to be happy.

[StaciMM]

If her debt is discharged in BK, I'm not sure that she can sue you for it. Did the BK attorney say she can?

[JimH]

Staci is right. If you go bk on her, she cannot win a lawsuit for non-payment. As long as you list her as a creditor, your debt to her is discharged - end of story. She can sue you (anyone can sue), but she can't win. If you want her to be able to take the business back, you better have her get an atty. Maybe there are options. Just remember business is business and it is beyond your control. She should of had a security interest in the assets or the business.