Re: 401K Funds in Chapter 7 Bankruptcy
Money in retirement accounts (such as 401k) is exempt while it is in there. If you take any money out, then it is considerd/handled like any other money/cash. You also used the money to pay back just certain creditors (family members) & not others. You did all of this within just a few months of filing bankruptcy.
Talk to your bk attorney.
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