 |
|
| Browse | Ask | Answer | Search | Join/Login |
|
|
||||
|
Can Chapt. 13 trustee take back award?
I filed for BK in July. Chapter 13 wage-earners plan. I was disabled in 2004 (lost use of my right hand and arm) The claim was originally denied. Now SS has decided to give me disability. My back award amounted to 20,000 the trustee wants this turned over to the plan as a windfall profit.
Olelefty |
||||
|
||||
|
Hello
You got back pay of 20,000! Wow that's a lot! I am by no means a bk expert but if the social security {goverment} gave you back pay for that much I can see why the chapter 13 trustee would at least question that. May be our bk expert on here can answer this for you. |
||||
|
||||
|
This is money you are getting, since you filed saying you don't have enough money to pay your bills, if and when you get this money, of course it is suppose to be used to pay your bills,
Why would you think you get to cheat your creditors out of being paid, you want to not pay them, so you can have and use the money for other things?? What part of paying your bills if you have the money don't you understand. But yes of course he can take the money, |
||||
|
||||
|
You have a choice: dismiss the Chapter 13 and keep the money or stay in the Chapter 13 and deal with the Trustee. Your SS award is property of the estate and subject to the desires of the Trustee. You should review your exemptions and make sure all of them have been used properly.
|
||||
|
||||
|
Speak to your BK Attorney, but SSI is exempt.
Federal law makes Social Security benefits exempt from levy, garnishment, and assignment- 42 USC 407(a) states. "In general the right of any future payments under this sub chapter SHALL NOT be Transferable or assignable. AND NONE of the moneys paid or payable or rights existing under this subchapter shall be subject to execution, levey, attachment, garnishment, or other legal process, or to the operation of any bankruptcy or insolvency law". This means that even if a creditor or debt attorney, collection agency has a judgement against you they CAN NOT garnish your SS payments nor can they take the money from you after it has been paid to you; for example, the portion of your bank account that is attributable to your SS benefits is EXEMPT from LEVY OR ATTACHMENT |
||||
| Question Tools | Search this Question |
Add your answer here.
Check out some similar questions!
Good Morning All, I need your help, I work for a group home in AZ as a Asst. Mgr. I have a 9yr old boy who has this compulsion to steal, I have been told to come up with a award plan to implement at the house, for this young man to help him not steal, the problem Im having is this kid...
I was severely hurt at home, fell down the basement stairs in 2004 and lost use of my right arm. We had huge bills and finally we filed chapt 7 BK this past June. In 2004 we filed for Social Security Disablity and was denied. Now 3 years later they want the back Social Security they awarded paid...
My husband has a Golf award ceremony dinner at a country club and the invitation says casual dress. What should I wear? Help! Morado 18
Can you tell me what this means? I have researched it online, but it doesn't make sense to me!
View more questions Search
|
