Can a bank take your savings account money after a bankruptcy disharge?
I recently received a discharge on my chapter 7 bankruptcy. Today, I received a bank statement saying that my credit union took my savings account money against the car repo that was included in my bankruptcy and discharged. Can they do that?
Savings is one of the assets you have to declare in your bankruptcy…it is not considered exempt like your 401k. So they are allowed to take the money, but I believe your bankruptcy trustee has to allow them to do it. Call the trustee and make sure they were told they could do it…or ask the CU for documentation as to how they decided they were allowed to do this.