Boston Bankruptcy Lawyer

Bankruptcy Bank Accounts

When a person files for bankruptcy, his or her ordinary or old bank will probably freeze any accounts and then close them. As a consequence, the bankrupt individual will need to make alternate banking arrangements for receiving wages and paying bills on time. Everyday banks will frequently turn down bankrupt individuals for bank accounts because of filing for bankruptcy and a poor credit score. Fortunately, there are special banks designed for bankrupt individuals.

Bankruptcy bank accounts, or basic bank accounts or instant access accounts, will offer their clients basic banking facilities. This includes online banking, bill pay, debit cards, phone banking, and a variety of other features. Debit cards will be issued but an individual with a basic bank account should not expect an array of credit card options or even basic credit options (like loans) at the bank. Rather than the standard debit cards, a basic bank account will offer at most a Solo or Visa Electron debit card. In addition, a person should be able to set up direct debits with the basic bank account.

Individuals with a basic bank account might want to consider a prepaid card. Many prepaid cards have a credit builder built in to help their holders rebuild their credit worthiness.

Once a person is forced to choose a bankruptcy bank account, he or she needs to choose the basic bank account that is best for the financial situation. The credit report that will be checked by the bank needs to be looked over for accuracy. If discharge has already occurred, the credit report needs to show it. If the credit report doesn’t show this, a person hunting for a basic bank account can be rejected.

Contact a Boston Bankruptcy Attorney

If you are in a dire financial situation and are considering filing for bankruptcy, contact a Boston bankruptcy attorney from Joshua Spirn & Associates at 1-800-975-5346.