I found out the hard way, at least with Faendal. I got caught stealing from the Companions (Jorrvaskr) and to avoid having any of my stolen gold confiscated (I don't know if the guards take stolen money when they arrest you, but I didn't want to take the chance!) I transferred all 5000-plus to Faendal. Once outside I tried to get the gold back from Faendal, but there was only 500! (Fortunately, I had a recent save and reloaded before the alleged theft.)

I wonder what Faendal did with 4500 gold? Spent it all on mead at the Bannered Mare?

lol amen to that!
btw no he didnt spend it on mead at the bannered mare,
he spent it all in riften in the thieves guild!

Damn him! I knew his upbeat manner was a farce!

I'd rather think he spent it at the Riverwood trader to be able to see the daughter as much as possible!

If you had 5000 gold, why in the world did you need to steal anything?
(As to where it went- check to see if Camilla has any new shinies)

Why would you store your gold? Also why would you willingly go to jail if your a thief? Unless your just a terrible thief with a bad knee.

i used to be a thief like you, then i took an arrow to the knee. makes it kinda hard to crouch now.

They spent it all on booze and hokers.....and maybe the occasional sweet roll.

For one, Proudspire Manor costs 25,000.

So far when I've been caught stealing the options are to bribe the guard (which means I can keep everything), pay the fine where I lose all stolen items or resist and battle it out. Not wanting to create a ruckus, or lose items or perks in progress, I usually bribe.