credit cards in the last 2-3 months you will most likely have to pay those debts off in in full.. Does that mean over the 3-5 year time period? Because of money being so tight we have had to put everything on a credit card.. But I am gainfully employed so I dont need to file for a chapter 7.. But I just read the part about if you have run up your credit cards you have to pay them in full so I was curious about what that means
2006-10-31 17:22:58 · 6 answers · asked by K.M. 1 in Business & Finance ➔ Credit
A chapter 13 is a debt repayment, and most credit card companies would not object if they are getting paid. If you file a chapter 7, you would have problems.
2006-11-02 14:54:08 · answer #1 · answered by Anonymous · 0⤊ 0⤋
If you haven't stopped using your credit card(s) do so immediately.Once you have determined that you need bankruptcy protection, a judge will take a dim view indeed of any additional accumulation of indebtedness other than interest and penalty fees on debts you already have. That's what is behind the cautions you have been reading.
Don't get sucked into "non-profit" counsellors, either. They will get as much money out of you as they can and then abandon you to your creditors in wors shape than you were before you started, sometimes without reducing your indebtedness one iota. Check with your State Attorney General or department or human services to see if State-sanctioned assistance is available.
Retain an attorney for the bankruptcy filing, negotiation, and proceedings. This is no time for do-it-yourself.
2006-11-01 02:38:22 · answer #2 · answered by Helmut 7 · 0⤊ 0⤋
Information on Chapter 13 Bankrupt
Many a times you read about notices issued to the public, informing them about the bankruptcy of a certain organization or company. The intention behind making this public announcement is not to deepen the sense of shame of the person or the company, but is simply a legal obligation.
Anybody, whether a company or an individual can go bankrupt. This happens when the bankrupt person or organization cannot ............
2006-11-01 06:12:52 · answer #3 · answered by sing i 2 · 0⤊ 0⤋
generally this means that you can not go out and buy a bunch of stuff just before you file the bankruptcy hoping to avoid payment once the bankruptcy is established. If you can show the court that the bills were normal living expenses you should not have a problem.
2006-11-01 01:30:47 · answer #4 · answered by ? 6 · 0⤊ 0⤋
WHen we filed for bankruptcy I had a credit card that we cash advanced 1 to pay off bills. We had to prove where that money went (copies of checks, rec, etc. ) and then there was no problem. They just don't want you buying 5000.00 worth of jewelry, tv's etc..
2006-11-01 01:50:05 · answer #5 · answered by chilover 7 · 0⤊ 0⤋
Don't file for bankruptcy...there are many alternatives. I strongly suggest seeking professional help in resolving your situation.
Shop for a local non-profit organization that will assist you. Compare the rates and track record of the company prior to use.
2006-11-01 01:34:56 · answer #6 · answered by gary s 2 · 0⤊ 1⤋