BarkingDog Posted December 22, 2022 Report Share Posted December 22, 2022 Anyone Know if I can do a Bankruptcy when I have a Trust Fund. ? I don't have access to the Trust Fund. Another person has power of attorney over it. Quote Link to comment Share on other sites More sharing options...
WhoCares1000 Posted December 22, 2022 Report Share Posted December 22, 2022 I would suggest discussing this with a Bankruptcy attorney rather than on an internet forum as this would be a special case in dealing with the trust. That said, I would suspect that because the trust is a separate entity, it would not be affected by the bankruptcy but one or two distributions may end up doing to the creditors. Again, speak to a lawyer as this would be a special situation. Quote Link to comment Share on other sites More sharing options...
despritfreya Posted December 23, 2022 Report Share Posted December 23, 2022 It will depend upon the terms of the Trust. If there is a valid spendthrift provision 11 USC 541(c)(2) should apply. Next step is to meet with a qualified attny. Bring the Trust documents with you. If you do not have them, make sure the Trust administrator is available for a phone call with the attny. Regardless, you may want to stay away from Chapter 7. Des. Quote Link to comment Share on other sites More sharing options...
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