Today’s Question: I Sold an RV and Split the Money With My Ex — Do I Have to List It in Bankruptcy?
If you are thinking about filing bankruptcy soon and you sold property recently, you may be wondering:
“Do I have to list that in my bankruptcy paperwork?”
“How far back does bankruptcy look?”
“Will I get in trouble if I don’t mention it?”
A very common example is selling a vehicle, trailer, boat, or RV and using the money for bills — or splitting it with an ex.
For example:
“I sold an RV in July 2024 and split the money with my ex. My portion was less than $4,000. Do I have to list that as property being sold? I haven’t filed yet but I plan to file at the end of February or beginning of March.”
Let’s break this down in plain English.
Yes — You Usually Must Disclose the Sale
In most cases, yes, you will need to disclose that you sold the RV.
Even if:
- the sale was months ago
- you didn’t make a profit
- you only received a small amount
- you spent the money already
- your ex got most of it
- it was part of a breakup or divorce situation
Bankruptcy paperwork requires full disclosure of property transfers and sales.
Many people assume that if it was “only a few thousand dollars” it doesn’t matter.
But bankruptcy is less about the amount and more about transparency.
Why Bankruptcy Asks About Property You Sold
The bankruptcy trustee’s job is to review your finances and make sure that:
- assets were not hidden
- property was not transferred unfairly
- creditors were not intentionally avoided
- money was not given away right before filing
This doesn’t mean you did anything wrong.
It just means the trustee wants a clear financial picture.
How Far Back Does Bankruptcy Look?
This depends on the type of transaction.
Most bankruptcy forms ask about property transfers within the last 2 years.
That includes things like:
- selling a vehicle or RV
- transferring a title
- giving property to a family member
- selling an asset for cash
So if you file in February or March 2026, a sale from July 2024 is likely within the reporting period.
What If I Sold It for a Fair Price?
If you sold the RV for fair market value and received a reasonable amount, that is usually not a problem.
The trustee is mainly concerned about situations where someone:
- sold property for far less than it was worth
- gave property away to a friend or family member
- transferred property to avoid losing it in bankruptcy
If you sold the RV legitimately and split the proceeds as part of a separation or divorce arrangement, that may be completely normal.
Does Splitting the Money With an Ex Cause Problems?
Not necessarily.
In fact, it’s very common.
People often split proceeds when:
- both names were on the title
- the RV was marital property
- it was part of an informal separation agreement
- the ex contributed to payments or upkeep
However, the trustee may want to know:
- whose name was on the title
- how much the RV sold for
- how the money was divided
- whether there was a divorce agreement or court order
- what happened to your share of the proceeds
The good news is that if the amount was small (under $4,000) and was used for normal living expenses, it often does not create major issues.
But it still needs to be disclosed.
What Happens If You Don’t List It?
This is where people can get into trouble.
Even if the sale seems minor, failing to disclose it can raise red flags.
Trustees often review:
- bank statements
- Venmo/CashApp/Zelle activity
- PayPal deposits
- tax returns
- vehicle title history in some cases
If the trustee discovers a sale that was not disclosed, it can create unnecessary suspicion.
In the worst cases, failure to disclose property transfers can result in:
- delays in your bankruptcy
- additional questioning
- denial of discharge
- allegations of bankruptcy fraud
Even honest mistakes can cause headaches.
So the best approach is simple:
When in doubt, disclose it.
Do I Have to List It as “Property” If I Don’t Own It Anymore?
Great question.
You wouldn’t list it as an asset you currently own, since it’s already sold.
But bankruptcy forms typically require you to disclose:
property you sold, transferred, or gave away within a certain time period.
So it’s disclosed as a prior transfer, not as current property.
What Should You Tell Your Bankruptcy Attorney?
If you’re planning to file soon, you should gather:
- the approximate date of sale (July 2024)
- bill of sale (if you have it)
- how much it sold for
- how you received the money (cash, check, transfer)
- how much you personally received
- what you used your share for
- whether your ex’s name was on the title
- whether there was a divorce agreement
Even if you don’t have paperwork, an honest estimate is usually acceptable.
Will Selling an RV Before Bankruptcy Prevent You From Filing?
In most cases:
No.
Selling an RV months before filing bankruptcy is very common and often not a problem at all.
Especially if:
- the sale was legitimate
- the amount was reasonable
- the money was used for living expenses
- the transaction was not meant to hide assets
But again, disclosure is key.
The Bottom Line
If you sold an RV in July 2024 and received less than $4,000 (and plan to file bankruptcy in February or March):
✅ Yes, you will likely need to disclose the sale
✅ Bankruptcy typically looks back at least 2 years for property transfers
❌ You should not try to leave it out
⚠️ Not listing it could create unnecessary problems
✅ In many cases, it will not hurt your bankruptcy at all
Final Thought: Honesty Matters More Than the Amount
Many people assume bankruptcy is only concerned with large amounts of money.
But trustees focus on transparency.
Even a small sale should be disclosed if it falls within the reporting period.
The good news is: disclosing it properly is usually the easiest way to protect yourself and avoid problems.
Need Help Filing Bankruptcy the Right Way?
If you are planning to file bankruptcy and you sold property in the last couple years, our office can help you review your timeline and make sure everything is properly disclosed so your case moves smoothly.
Bankruptcy is about getting a fresh start — and that starts with filing correctly.
