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New bank account?


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hey all,

Can you open a new bank accounts (Checking and Savings, for overdraft protection) after the 341 but before the actual discharge, during the auto stay? the reason I ask is I'm tryin to get the best possible "Fresh Start" as possible. Not sure what actually happens during the stay, is ther trustee watchin your every move?

Thanks

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LadynRed is absolutely correct. The number of cases assigned to each trustee is staggering. You are totally fine. Besides, if its brought up then you just admit to it and that is that. You did nothing illegal.

Let me preface my last statement by saying that if you opened a new bank account and dumped $25,000 cash in there, then you might raise some serious red flags. But for routine transfers or just a small savings acount, I think you're cool.

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Let me add- you may NOT be able to get overdraft protection as you asked about. As silly as it sounds, I was denied by my bank for overdraft protection due to my credit score. I assume that if you are inquiring about BK that you score is not so great!

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JG, how did that bank's overdraft protection work ??

At my bank, all you need to do is have a savings account that you 'link' to your checking. The savings is used for the overdraft protection, so there is no credit to be extended at all.. its all your OWN money. I have only had things bounce 3 or 4 times in 30 years, so for me overdraft protection is purely a precaution.

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I had this argument with the bank clerk. They told me it didn't matter. It is considered a line of credit of $100. I'd say I have an average balance of 3-4K in there and they still denied me.

This may be off-topic, but I have a scottrade account as well. I applied for the electronic transfer of funds option from my checking account right into my equities account. Well, Scottrade denied me having this convenience due to CSC service credit report. Since its merely a cash account to a cash account transaction with no loaning of any moey and no risk to Scottrade, I called my broker and complained (I did not know they would pull credit in the first place since they are not extending me any credit). He told me that its standard policy and that I just didn't qualify. I brought this up since its similar in nature- no credit was being extended yet they denied the application due to past credit history.

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  • 3 weeks later...

This was the same issue I was going to bring to the board. At this moment I have provided my attorney with all documents & he is currently reviewing my MFTRA report from the IRS to see if any debts can be included in my BK before we go forward with my case. In the interim, I have been using check cashing facilities to conduct my financial transactions which in and of itself becomes expensive. So I too am wondering if I can open an account with another bank even though my BK has not been filed.

Thanks in advance for your assistance.

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This was the same issue I was going to bring to the board. At this moment I have provided my attorney with all documents & he is currently reviewing my MFTRA report from the IRS to see if any debts can be included in my BK before we go forward with my case. In the interim, I have been using check cashing facilities to conduct my financial transactions which in and of itself becomes expensive. So I too am wondering if I can open an account with another bank even though my BK has not been filed.

Thanks in advance for your assistance.

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