What becomes of your bank account during bankruptcy?

[mtbjoe]

Wow, looks like I may have headed in the wrong direction!!

Currently I'm in so much debt with WF that I feel like I may actually be considered their property at this point. The original question I was looking for answers to was around overdraft fees causing a negative balance in our WF checking account when we file (Ch 7). We haven't been using the account but it's at almost -$1000 just in fees over the past 2 months and I wanted to see if this will get discharged after we file.

We just switched our direct deposit from WF to our CU which we've always used for car loans and we have a small one there now which is current and will remain so. After reading this thread I'm not so sure that was a good idea especially since I do have that loan with them.

We were hoping to file in the next week or so but I may need to straighten this out first but of anyone has an answer to these questions (especially the first one) I'd really appreciate it. I'm also going to call our CU to see what they say.

Thanks!

[IamOld]

Joe, YES the overdraft fees are dischargable like anything else. I honestly don't know what the CU may do if you file...it may be better to get an account elsewhere just in case...


All my best wishes to you!!!

Wow, looks like I may have headed in the wrong direction!!

Currently I'm in so much debt with WF that I feel like I may actually be considered their property at this point. The original question I was looking for answers to was around overdraft fees causing a negative balance in our WF checking account when we file (Ch 7). We haven't been using the account but it's at almost -$1000 just in fees over the past 2 months and I wanted to see if this will get discharged after we file.

We just switched our direct deposit from WF to our CU which we've always used for car loans and we have a small one there now which is current and will remain so. After reading this thread I'm not so sure that was a good idea especially since I do have that loan with them.

We were hoping to file in the next week or so but I may need to straighten this out first but of anyone has an answer to these questions (especially the first one) I'd really appreciate it. I'm also going to call our CU to see what they say.

Thanks!

[ValleYum]

Make sure you ask a "hypothetical question" - don't give your name or account info when you call the CU. Also, consider blocking your phone # using *67.

Why? I read of someone on here who called to ask something similar and their CU froze their account that very day even before they filed. Yeah, I personally would (and did) take my Direct Deposit and checking acct. to a bank where you have no financial ties.

Good luck!

[mtbjoe]

Thanks so much IamOld & ValleYum!!

Both great news and great advice. I'll probably call the CU anonymously as advised but still stop the direct deposit there at least for a while. I really like that CU but not enough to risk not being able to access my money! Maybe I should stop direct deposit all together and just sign my checks over to a family member until I see what's going to happen with my accounts.

This is why we're all so lucky this site is here, I would have never even thought of this...

[Freddy03]

Thanks so much IamOld & ValleYum!!

Both great news and great advice. I'll probably call the CU anonymously as advised but still stop the direct deposit there at least for a while. I really like that CU but not enough to risk not being able to access my money! Maybe I should stop direct deposit all together and just sign my checks over to a family member until I see what's going to happen with my accounts.

This is why we're all so lucky this site is here, I would have never even thought of this...

You may want to check with your attorney before you sign $$ over to a family member if you are filing soon.

I had/have a CU account that was not affected by BK but I also did not have any loans with them.