Student loan borrowing/refund during active CH7?

[Diesel73L]

My wife is in graduate school in an attempt to get back into the job market (her job loss coupled with our large unsecured debts contributed to our BK) and just got an e-mail from financial aid saying that she will be awarded the full amount now so that she can pay for the upcoming Spring semester and receive a refund check which can be used for either the Summer session or Fall semester. This would be a large deposit (about $16K) that would go into our bank account sometime next week. We had our 341 on January 7th and don't expect our discharge until mid-April. Is there any reason why such a deposit would raise any eyebrows? Could it potentially cause problems if the UST picks our case for a random audit?

[LadyInTheRed]

It is very unlikely to come up. Unless they suspect you are hiding something, trustees usually only ask for account statments for the month you filed and perhaps 6 months before you filed, if they ask for any at all. According to Nolo, cases are usually selected for random audit within 10 days of filing. So, you'd probably know by now if your case was going to be audited.

Do let your attorney know about it in case it is an issue.

[alo]

I'm curious about something similar...My salary is evaluated at the 6 month mark (June). It is highly unlikely since within the past year alone I have had two reductions in my salary, but on the off chance that the company turns around and we start doing better...

I plan to file Ch7 in either April or May. If I file, and then receive a salary increase before the 341 meeting what happens? What about after the 341 meeting? What about before I'm discharged? Closed?

And, while I'm at it, what if I win the lottery and see a unicorn! Ha!

[Drazil65]

Hi, just a word of caution on that student loan deposit. We were in a similar situation last January. Spouse filed chap 7 in Dec. 2011 and we were already approved (Sallie Mae) for his spring semester. The day (mid January) it was supposed to be deposited into our account the school contacted us to tell us the deposit did not come in. We called Sallie Mae to find out why the deposit did not go through and they told us that they do not disperse funds during an active bankruptcy and withdrew the funding for Spring. Now this was a Sallie Mae private loan and maybe that makes the difference but thought I would throw it out there so you would not be caught off guard if it happens. Good Luck!