State retirment and CH 7 (Old law)/Reaffirm

[lostsoul23]

What is the name of your state?Ohio

I filed Ch7 under the old laws recently. My 341 meeting isn't until May, which doesn't surprise me with the rush to get filed by so many under the old laws. However, by that time I may be living in another state. If I move, I have the option of cashing out a state retirment (PERS) fund. *If* I do that, will I a) have to advise the trustee and b) hand that money over to him/her? Or, should I wait until after the 341 meeting or wait until the case is closed?

Thank you for the help.

By the way, when I filed my case I listed I wanted to reaffirm on my car but I'm having second thoughts on it. Is it too late to change my mind? What would I need to do?

 

[bigun]

Do not under any circumstances cash out that retirement. It is exempt from creditor seizure.

Just don't sign any formal reaffirmation agreement.

 

[markf2145]

Not to Hijack the thread, but I am interested in the response also. Bigun responded to not cash out the retirement, at what point would it be safe to do so, after the 341 hearing or only after a discharge is rcvd ?

 

[bigun]

I'd not cash it out period but if you have to, wait until the 341 meeting is done.

 

[lostsoul23]

bigun-thanks for the help, I have a follow up.

I got the orginal 341 date of 5/06. I checked on PACER just now and they are setting up another 341 date next month, and cancelling out the old one. They used some jargon that pretty much sums it up as a paperwork snafu.

Anyway, I wasn't going to touch this money until after the 341, and after the date they give for creditors to file exemptions and what not. Would it be safer to just wait until the final discharge/closure of the case?

 

[bigun]

I think the best course of action is wait until discharge.

 

[Ladynred]

If the money comes out of the retirement fund and into your hands, its reachable by the Trustee as it then loses its exempt status. If you're going to move, set up a rollover into another qualified retirement account and have the money go DIRECTLY into it. That way it REMAINS exempt and you can cash it out after your discharge.