Bank account balance exemption question

[stray]

Does anyone know what they mean by "exempt sources" in this part of the exemption rules for Oregon:

Bank Accounts: up to $7,500 if traceable to exempt sources. [ORS 18.348]

Would this apply to money in a checking account on the day of file because a check for a household expense didn't clear? It seems like a lot of money for an exemption, just trying to understand what it's for. Thanks.

[justbroke]

It means that the money was otherwise exempt. For example, you sold your home and the homestead exemption was $40k. You had some of it leftover after buying a new house and that was $5K. If you can show that the $5K in your bank was from the homestead that you sold, then the $5K is exempt under that statute.

Similarly it could have some from other exempt property like your car or furniture or livestock (if your State has such exemptions).

This would NOT be for a household expense (check) written to cover something! You should stop using your checking account and issue money orders or bank checks that close to filing! Don't get caught. There are Trustees who love seeing money in the bank, regardless that you wrote checks and they are un-cashed, on the day you file!

[stray]

Thanks for clearing that up for me. I just thought I missed something. I only had $56 in the bank on day of file because a $47 check didn't clear until the next day. I thought I had plenty of time and did use money orders/debit cards for everything else. Atty actually filed quicker than I expected, so part of the wild card is being used for that balance.

Everything is happening so fast I'm second guessing myself, atty, ....everyone and their brother. And I know I'm nitpicking, but I'm so super broke now I actually decided not to buy shoestrings yesterday 'cause I didn't want to spend the money. Ah, I can use the exercise bending down to re-tie the old ones anyway.