When can I start living free again?

[debtsucks]

Is it after I file, after my 341, or after I am discharged? I am scared to try to save any money, buy anything, withdraw money, etc, because I'm afraid that everything I do is being watched. When is it that you can start living free and clear again?

[BobMango]

Your bankruptcy case is basically a snap shot of your financial affairs as of the date you filed, so you are free to spend your paychecks, save money, etc, after filing. There are some events that will complicate your bankruptcy post filing date, like an inheritance or lottery windfall, and I would not sell or dispose of any asset you claimed as exempt until the trustee issues a report of no distribution, but otherwise, live your life.

[Bell30656]

I had the same question that you do when I was going through my bankruptcy. To make matters worse right after filing but before my 341 it was announced that a new position was being created at my company and that I was getting it. This position came with a a substantial pay raise and bonus.

In hushed tones I had told my attorney about it and was worried about what it would do to my schedules, etc. While we were in the 341 my attorney told the trustee about it and my fears. The trustee turned to me, shook my hand in congratulations, then told me that bankruptcy is a snapshot not a movie.

My bankruptcy proceeded without a hitch. No one expects you to live as a pauper. No one expects you to give up your suits and start driving a Pinto. The trustee said something about my bank balance on the day of filing... My attorney that was my balance before paying his fee, then showed the receipt. The trustee just laughed.

[ohiogal]

No one expects you to give up your suits and start driving a Pinto.

Actually, I think driving a Pinto would be kind of cool...except for the exploding gas tank...of course, I'm speaking as someone who kind of misses her 1982 Ford Escort...

[nervous1]

Okay....just to clarify. I have basically closed all checking and saving accounts and put ALL the $$$ we have in ONE account. This is literally all the $$$ we have now. Also made the decision to stop paying cc's (which is what prompted me to close the accts., since a couple of our cc's were tied to banks that had cking/saving accts.) and, most likely, stop paying the mortgage.

The charges on the cc's for the last few months have mostly been for utilities and groceries.

Have pretty much decided to include the house in the BK, so not sure where that will put us as far as foreclosure. (In the process of trying for a loan mod, but not very hopeful at all.) So, we need a place to live. Spouse has a cabin that he inherited (not in my name, never has been). It needs a few repairs before we move in. The only money we have to do the work needed is what is in the acct. I just opened. If I use any of that $$$, will it be a problem?

As I mentioned, this is all the $$ we have. We have no income, except for what I bring in from selling on Ebay.