Changing banks due to bankruptcy!

Date: Thu, 09/25/2008 - 17:55
Submitted by on Thu, 09/25/2008 - 17:55
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:?: After speaking to our attorney, he advised my husband and I to switch our banks (Wells Fargo) as one of our debts in the BK petition was for a credit card issued by the bank. He warned us that there may be some wording in their terms of service (checking acct) that states they may come into our acct and take monies out to pay for outstanding debts owed to them, our attorney has seen it b4 and wanted us to be safe. We decided to switch over to Wamu, before their fiasco. Now I hear that they are being bought out by JP Morgan Chase.

money.cnn.com/2008/09/25/news/companies/JPM_WaMu/index.htm?postversion=2008092519

Chase is one of our creditors in the bankruptcy pertition as well! Does this all mean I need to switch again? Good lord, I can't switch every week! Does anyone have any recomendations for banks at this point, I live in zip code 95959 in Northern California out in the boonies. I was thinking of Bank of the West, but don't know. I really need to have access to a bank with many ATM's and I really dislike B of A, they nickel and dime you to death. Any advice as to any bank would be greatly appreciated. By the way, my Chex report is clear, so I am open to any bank recomendations! TIA :wink:


I am also getting ready to file for bankruptcy (Chapter 13) and I switched to Wachovia from my previous banks since I owed them money as well. Now, Wachovia is going to be purchased by Wells Fargo with whom I owe several credit cards to. Should I change banks again?

Also, what happens after you have filed bankruptcy and your bank is purchased by a bank that is part of the bankruptcy payments? Please help!


Submitted by on Fri, 10/03/2008 - 05:34

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MCA,

I'm in a ch 13 bk right now. I have included two banks in my plan. So are you saying that if my present bank was to be bought out by one of the banks I included in my plan, they can take money out of my account to pay off the previous accounts that I included in my plan?

I'm not sure if you know how a ch 13 works, but if a creditor does not file a claim within the time frame to be paid, then the debt is considered discharged. Neither one of these two banks filed a claim to be paid.

Wow, I better keep a close eye on the news, hoping my bank is never bought out by one of the two banks I've included in my plan.


Submitted by m.lm1947 on Fri, 10/03/2008 - 18:13

m.lm1947

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oh I am sorry, no, if it is included in the bankruptcy then no, they can not take the funds.

But beware, they might just take the funds and then insist that you show proof that it was included in the bankruptcy. In the meantime, you would be inconvenienced.

I can not tell you how many times a creditor will continue to try to collect on a debt until it is proven that it was included. So yes, I would still worry about the account because of that reason.


Submitted by Mary Adkins Matthews on Sat, 10/04/2008 - 11:03

Mary Adkins Matthews

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