Legal Question in Bankruptcy in New York

Re: Question about bankruptcy and bank accounts

A bankruptcy Trustee can seize anything that represents itself as Debtor's asset. If Debtor's name is on a bank account, no matter that it's actually Debtor's mother's money, the account must be reported to the Trustee and the Trustee can seize the funds in the account to pay Debtor's creditors.

If Debtor's name is removed from the account, Debtor must wait a certain time before filing for bankruptcy protection to avoid the Trustee's "look-back" period, which would result in the Trustee potentially seizing the funds in the account as an "insider" transaction.

Hope this helps.

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