chapter 13 services post (sic) confirmation

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X-eGroups-Edited-By: easky1
Listmates:
PC would be a smooth Ch7 No Asset except for $45k in a savings account she inherited from deceased husband in late 2011. Originated from husband's trust, and is just now sitting in a savings account. PC used ~$10k of it in 2011 to pay medical expenses, but has not used it for other purposes. Owes ~$40k in credit card debt, and was served with $25k collections suit approximately 2 weeks ago.
Obviously, she wants to protect the inheritance money as best she can and minimize her exposure to all her creditors, with the collections suit being the most aggressive. She is considering funding an IRA with the $45k and then going into a Ch7, since she doesn't plan to use that money for anything other than retirement purposes anyway.
So this appears to fall somewhere in between allowable shifting of
nonexempt property into exempt property, and a transfer made to hinder her creditors. The case law I've looked at for this has been so far extreme examples - people incurring large debt to drive up homestead, people moving across states to utilize exemption laws, people not disclosing transfers/assets on schedules, etc. I'll continue with research but if anyone has experience with how this may be treated in LA, I would appreciate it. Thank you.
Jason Boyer
Boyer Tadros Law, PC
5150 E. Pacific Coast Hwy, Suite 200
Long Beach, CA 90804
T: 562-346-3276
F: 562-684-0775
jboyer@boyertadroslaw.com
www.boyertadroslaw.com
Listmates:PC would be a smooth Ch7 No-Asset except for $45k in a savings account she inherited from deceased husband in late 2011. Originated from husband's trust, and is just now sitting in a savings account. PC used ~$10k of it in 2011 to pay medical expenses, but has not used it for other purposes. Owes ~$40k in credit card debt, and was served with $25k collections suit approximately 2 weeks ago.
Obviously, she wants to protect the inheritance money as best she can and minimize her exposure to all her creditors, with the collections suit being the most aggressive. She is considering funding an IRA with the $45k and then going into a Ch7, since she doesn't plan to use that money for anything other than retirement purposes anyway.

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