Finally filed today... But question regarding $$$ in the bank

[debee]

Any cash that you have listed on your schedules, unless you can amend your petition to exempt it, is available for distribution to your creditors.

You have a 6K wildcard exemption in Maryland. Have you used it? I would amend your petition and apply it to the cash on hand if it hasn't been used up elsewhere.

Payments to secured creditors (like mortgage/car) are not preferences.

You might think you are a no asset case, but it's not up to you decide. Especially since you filed with enough cash on hand to see you into the future. How much was there?

edit to add:

You have been spending your money down on the right things, but not at the right time. The spend down needs to happen before you file.

As for part 2 of your question, yes getting a job after filing but before the 341 can impact your case. It's going to depend on your income and expenses. There could be an objection based on your "totality of circumstances".

[Dorsey]

Yes, debee. I should have told you that upfront. I have assets totally about $9,270.54 fully exempted over three categories of exemptions. The cash is fully exempted. "Seeing me into the future" is not really an appropriate description of the amount of cash -- I only have $128 on hand, sadly. When I filed on April 22, I had $410. The difference of $282 has been spent on groceries, job interview expenses, and fuel for the car.

The assets are spread out over three categories:
MD 11-504(b)(4): $970.00 (this provision covers: The debtor's interest, not to exceed $1,000 in value, in household furnishings, household goods, wearing apparel, appliances, books, animals kept as pets, and other items that are held primarily for the personal, family, or household use of the debtor or any dependent of the debtor.)
MD 11-504(b)(5): $5,355.54 (this provision covers: Cash or property of any kind equivalent in value to $6,000 is exempt, if within 30 days from the date of the attachment or the levy by the sheriff, the debtor elects to exempt cash or selected items of property in an amount not to exceed a cumulative value of $6,000.)
MD 11-504(b)(1) $2,945.00 (this provision covers: Wearing apparel, books, tools, instruments, or appliances, in an amount not to exceed $5,000 in value necessary for the practice of any trade or profession except those kept for sale, lease, or barter.)

This totals $9,270.54 and the exemption permit an aggregate of $12,000 appropriately spread among the three categories. But again, the cash represents only $410 at the time of filing.

I guess my issue is that it would seem draconian to expect a no-income filer to survive without access to the $410. Correct? I understand that I cannot liquidate property into cash, but that the cash is fair game for reasonable living expenses.

P.S. Thanks for pointing out the non-preference issue with regard to secured debt.

[Dorsey]

debee, landing a job after the 341 hearing is generally okay then in terms of not jeopardizing the discharge?

[debee]

You can spend the cash without having to worry about paying it back to the trustee so long as you exempted it. The earlier posts in this thread were about what to do with the cash when/if it wasn't exempted and it was in an account on the day of filing. Doesn't apply across the board to your case.

I added more to my earlier post while you were typing yours.

edit: After the 341 is no problem.

[Dorsey]

debee, you're such a great help...not only here but in other posts as well. As you can tell, I am pretty concerned about the timing of new employment and not wanting to screw up the delicate balancing act that goes into the original filing and hope for a Chp. 7 discharge. From what I hear, significant new employment income prior to the 341 can be a bad thing vis-a-vis the filing. What I'd really like to lock down is whether I have any obligation to amend or report new employment AFTER the 341 hearing...say 30 days before discharge.

[Dorsey]

Awesome, thank you!!