QUESTION
Can I use credit cards during a chapter 7 bankruptcy?
Asked on Oct 09th, 2011 on Bankruptcy - Massachusetts
More details to this question:
I am filing a chapter 7, but have only paid half of my attorney fees as I only get paid once a month. Paying these fees with cash has caused me an additional hardship and since I was in the negative even before paying fees, I have had to charge gas, groceries, clothing for children, etc, or would have no money to live on for a month. I keep reading about not charging, but what do I do?
7 ANSWERS
Glen Edward Ashman
You listen to your lawyer who has already told you not to commit fraud and not to use the cards.
Answered on Oct 28th, 2011 at 1:21 PM
The creditors have the option to file a nondischargability complaint against you for charges incurred prior to filing for that you know you can not pay.
Answered on Oct 12th, 2011 at 12:31 PM
Bankruptcy Attorney serving Concord, CA
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William Rubendall Attorney at Law
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Upon filing for bankruptcy your credit cards will be revoked. You are not allowed to incur charges in anticipation of bankruptcy. Charges that you have incurred within 90 days of filing will probably be non-dischargeable.
Answered on Oct 10th, 2011 at 10:25 PM
Bankruptcy Attorney serving Hayward, CA
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Carballo Law Offices
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Charging to a credit card or obtaining a loan without intention of paying is the definition of fraud. Since you are planning to file for bankruptcy then you could be accused of fraud, particularly for large purchases and all purchases not necessary such as food and gas.
Answered on Oct 10th, 2011 at 4:40 PM
Immigration Attorney serving Salinas, CA
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Law Office of Magnolia Zarraga
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You should NOT be using your credit cards at all. Since you've hired an attorney, you need to communicate with him or her and make them aware that you have still been charging on your credit cards. This could potentially delay the filing of your bankruptcy case, or make certain recent charges non-dischargeable. Contact your attorney as soon as possible so you can come up with a plan to move forward
Answered on Oct 10th, 2011 at 3:54 PM
Bankruptcy Chapter 7 Attorney serving San Diego, CA
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Law Office of Asaph Abrams
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In consideration of hardship, attorneys may offer extended payment plans in order to file a chapter 7 petition. There is no waiver of the prohibition of incurrence of debt with the intention of discharging the debt.
Answered on Oct 10th, 2011 at 3:54 PM
Any charges you make to your credit cards while contemplating bankruptcy is fraud and grounds for non-dischargability of those amounts or possible dismissal of your bankruptcy claim. Do not use your credit cards at all.
Answered on Oct 10th, 2011 at 3:27 PM