What are some redflags that trustees look for???

[lvmcse]

In debt. It's funny how little charges over a year build up to a monster.

Thanks People!!!

[NewStart2012]

I'm totally new to this but from what I've read so far, the biggest redflag is using your cc's before filing. The best advice; however, is to be honest and don't do anything that would appear fraudulent. Good luck to you!

[HHM]

There are many...no way to itemize, the red flags are somewhat case specific.

Keep in mind, the trustee is concerned about getting money to pay your creditors. The Trustee is not so concerned about how you got into debt.

So red flags are more related to the disclosures (or lack thereof) on your petition.

[btbeme]

To flesh this out a bit, I could use the word "consistent" - is what you are saying on your filing and disclosures consistent with other info that the Trustee has available to him?

For instance, a Trustee may check your homeowner's policy and see a rider for artwork and jewelry. Is that artwork and jewelry disclosed in your filing? If not, can you explain why not? If is was "sold" recently, can you provide evidence of the sale, as well as show where the money went?

Or, DMV records might show a VIN number that isn't listed, or was transferred a few months ago. Or your income might have been $150,000 a year for the last six years, but you only list a lamp and a footstool from Ikea on your assets. Or your checking account records show payments of $400 a month to someone but that someone isn't explained on your filing. Or they might see a payment to a Roth IRA and not see a habit of doing so in the past - was that done simply to stash the cash so the Trustee wouldn't grab it? ... etc etc etc.

Bottom line - this isn't the Trustee's first rodeo. They have access to a great amount of information and are pretty spectacular at digging deeper when something doesn't pass the "smell test."