Paste your Google Webmaster Tools verification code here

The  Ninth Circuit – U.S. Court of Appeals held that a bank did not willfully violate the automatic stay by placing a temporary administrative pledge on the debtors’ accounts in favor of the bankruptcy trustee.

A copy of the opinion is available at: http://cdn.ca9.uscourts.gov/datastore/opinions/2014/08/26/12-16087.pdf

Wells Fargo,  however,  recently got slammed by a Federal Judge in NY for their practice of freezing Chapter 7 Debtor accounts nationwide.  Bankruptcy Court Judge Cecelia G. Morris. December 2014,  awarded the Weidenbenners $25 in damages for a bounced-check charge, plus costs and lawyers fees.  In her ruling, the judge blasted Wells Fargo, which was not a creditor in the case, for freezing the money and controlling access to it. Accusing the bank of “grandstanding” about bankruptcy-code compliance.  In re Weidenbenner, 521 B.R. 74, 2014 WL 7139994 (Bankr. S.D. N.Y., 2014).

Wells claims that their nationwide policy is only to freeze accounts of debtors with $5000 or more– not true.   If you are going to file Chapter 7– move your bank account from Wells Fargo before you file.

 

 

Clearwater Bankruptcy,  28870 U.S. Hwy 19 #361, Hodusa Towers, Clearwater, FL 33761,

Phone: (727) 330-1627 email: carollawsonesq@gmail.com