Last October I accidentally overdrew my business checking account by $1800. I borrowed the money from my friend and then paid her back 30 days later with business funds. As I am filling out my paperwork for Chapter 7, I am going to write this down as an insider payment. Does anyone know how likely the tt will make her give this money back? Does that really happen? What is the criteria for making someone give back money?
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Filed Chapter 7 on Friday the 13th!
, 341 9/10/10 
. TT's report of no distribution 9/13/10 DAMN STRAIGHT! Case Closed! 11/19/10 "Our long national nightmare is over". -
sounds like a substantial amount for the trustee to care, general rule is 600.00 or more in a 12 month time frame is insider payment.Retained lawyer: 3/30/10
Filed Ch. 7: 4/07/10
341 Meeting: 5/19/10
Discharged: 7/26/10 -
Thank you. Yes, it is an insider payment and I will be listing it. My only question is this: do you know how likely it is for a tt to ask for the money back? I can easily prove what I did with the money, but I don't think they care...or do they?Filed Chapter 7 on Friday the 13th!, 341 9/10/10 . TT's report of no distribution 9/13/10 DAMN STRAIGHT! Case Closed! 11/19/10 "Our long national nightmare is over". Comment
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It is preferential, but you're probably only going to be giving 3 - 6 months of bank statements. I was only asked about payments over 600$ in the last 90 days.
So it is possible that the issue won't come up. I would have 6 months of clear bank statements before filing however.All information contained in this post is for informational and amusement purposes only.
Bankruptcy is a process, not an event.......Comment
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