Llano, CA Bankruptcy Law Firms & Lawyers

You can file for bankruptcy now that the divorce is final. You should meet with an attorney to make sure you meet the qualifications for Chapter 7 and that you are not in danger of losing any assets.

Wells Fargo has been freezing accounts with over $5,000 to "protect the bankruptcy estate" they claim. In a recent court decision it was determined that it was no legal to do that but Wells Fargo is appealing the case and they continue to do it. Wells Fargo froze the account of my client recently for about two weeks. If you report the amount in the account in the bankruptcy petition and exempt it then the Trustee will usually instruct Wells Fargo to release the funds. However, that could keep the account frozen for several weeks (sometimes until after the meeting of creditors). Therefore, it is better to avoid Wells Fargo and not have too much money in any single bank, particularly in Wells Fargo Bank. Also, if you owe money to the bank where the account is held then the bank could be entitled to a set off and take the money to pay the debt. Therefore, it is not a good idea to keep money in an account in a bank to which you owe money because you could lose the money. This applies to all banks and, particularly, to credit unions.

Unfortunately, in Louisiana there is no right to obtain a vehicle that has been repossessed unless you pay the balance in full or an amount that the lender agrees to accept. If they insist on full payment, you would have to make full payment to get your vehicle back. A Chapter 13 might help you get your vehicle back but you would need to file before your car is sold.