Question about money in bank on filing date

[Ann]

I know this question has been asked before but I really need some clarification on what you can have in your bank account on the day you file for bankruptcy. I just called my attorney's office and didn't get my question answered to my satisfaction. Here is my situation... I will sign all necessary forms to file in a few days. On Friday I have a house payment scheduled but it never comes out of my account until 2 business days after. If we file on Monday and there is money in the account will the trustee ask for that money even if it was for the house payment? My bank statement will show it was drafted out on the second business day but does that even matter to the trustee??? I just don't want to mess this up. We have waited way too long and I really want this to be done right. Thank you!

[newbie2]

I know this question has been asked before but I really need some clarification on what you can have in your bank account on the day you file for bankruptcy. I just called my attorney's office and didn't get my question answered to my satisfaction. Here is my situation... I will sign all necessary forms to file in a few days. On Friday I have a house payment scheduled but it never comes out of my account until 2 business days after. If we file on Monday and there is money in the account will the trustee ask for that money even if it was for the house payment? My bank statement will show it was drafted out on the second business day but does that even matter to the trustee??? I just don't want to mess this up. We have waited way too long and I really want this to be done right. Thank you!

Ann, the money in your account on the day of filing is what is important. If the money can be exempted make sure your attorney does that, or wait to file until you know that payment has cleared.

[SMinGA]

The petition should list your current - as of filing date - balances for bank accounts, cash on hand, etc. You should give these final figures to your atty on the day of filing. If the funds have not yet cleared your account, then they are part of the bankruptcy estate.

The key question is whether or not you have exemptions to cover the cash? If not, postpone filing til Tue. or Wed. so the funds are cleared. Or take the cash out on Friday, buy a money order, and send it off. Make sure its out of your account & out of your possession before you file.

[AngelinaCat]

We were told to have as close to 'zero' as possible the day we filed as that is your financial snapshot for the court. If I were you, I would wait until the day after the draw occurs to file. If you are questioned about it, you will have your statement to back you up.

Good luck to you!

[momofthree]

It might be a good idea to get a cashier's check from the bank and mail it to your mortgage company a few days before you file. Reschedule your auto draft to skip that month and pick up again the next month. This is what we did the month that we filed. If that money is still in your bank account on the date of filing, it won't matter that it is earmarked to pay your mortgage, it become property of the trustee to do with as he sees fit (unless you can exempt it).