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Preparing for BK


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  • 2 months later...

You don't have to be behind to file bankruptcy. In general, lawyers will recommend you stop paying at least 3 months before filing - why waste the money and you want to show your disposable income to be as low as possible. If you're still making credit card payments - that's not a necessary living expense and that money will ADD to your disposable income numbers.

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If you had to put these card into BK, which ones would you do or not do? YOu see, I figured Iwould put my balances onto cards that I will BK, and zero out ones not to BK. I realize most will close me anyway once they get wind of a BK, but looking for after the fatc, in the years to come.

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If you're going to be filing soon, I'd suggest you leave everything right where it is or, someone is going to scream preferintial treatment on a recent bt that is suddenly bk'ed.

The vast majority of those lenders will run an AR at some point and if the bk shows up, will likely close the cards.

You can get too cute for your on good if you try and pick and choose creditors.

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Guest jeeptravel

Hi there. I read your posts and it is amazing how much we have (had) in common before filing Bankruptcy 7.

I thought for that reason, I might be a good candidate to give advice. Our BK (Wife and I) was discharged 4/04 and we've been through the "process" you are about to embark upon.

If you can pay your final installment in the next three months then stop paying your credit cards.

If you want to keep certain cards, have your lawyer submit a reaffirmation agreement with them asap. Before you do that. just call each of them and ask if they even do that. Some may not. Having sai that, most creditors like to be reaffirmed. I mean, duh, get moeny from you or not? it's a no brainer. If they close your account after you've reaff'd, call them up and say you are rescinding the reaff. and amending your BK to include them in your discharge.

Don't stop paying the accounts you plan to reaffirm. Those 90 day lates will never come off. I wouldn't reaffirm too many because that would look odd to the judge. CH 7 means "fresh start" don't try to hang on to what you are trying to free yourself from. You can rebuild soon enough. No one can stand in your way!

Expect to fall below the 600's (at least). I was at 425 avg score after filing. After discharge I rebuilt my credit and it is slowly and steadily rising. I think I could be close to 700 in a year from now.

Again: on the cards . . . the more you let go the better. Try to keep your favorites.

As far as the blacklisting goes: ALMOST EVERYBODY DOES. I have been turned down for everything from a home loan to a DELL card. The stuff listed in my sgnature file is the only stuff I have found to be BK friendly. (there could be more, but I haven't found it yet) If you can avoid BK . . . AVOID IT. Sorry I'm not gonna sugar coat that for you. You are marked for 10 years. BUT, large downpayments on credit items speak VERY loudly toward getting TL's and CC's.

Lastly in my sermon (which I hope is helpful) I always like to recommend looking at an ideal "post BK" budget. If you find that even after BK you are going to be hurting financially, then enroll in college or look for a higher paying job. After a BK you can get into credit trouble if you are not careful and with so many companies "blacklisting" you, you may not find it easy to get credit help when you are over-extended. HINT: Student loans are not granted based on credit!

Hopefully all that gives you a portrait of what I have learned. Hang in there and good luck to you.


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90 days is just a general guideline. If someone complains, the trustee can certainly investigate and not allow it to be included in a bk.

This close to filing, I'd suggest you make no financial move unless your attorney gives the OK.

You're about to find out that there is theory and then, there is reality.

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OK.... I can't NOT say anything.

You obtained the cards fraudulently, within the past two months.

You then charged enough that you now can't keep up the payments.

When the bk hits your reports, will you then put another fraud alert on your reports and say someone stole your ID and filed BK in order to get around the accurate reporting?

And you're worried about what cards you can keep, or what cards you'll be able to get post-BK? How about learning something from the experience - something you obviously missed before in whatever situation brought you to all the boards?

Now, before you get all high-and-mighty, I have no issue with people filing BK, none at all. I think life hands us circumstances which we can't control which leads to that - and sometimes that's even our own inability to manage credit.

But you think none of your creditors are going to cry foul when you get the cards and less than 6 months later you file BK? Did you at least have a job when you applied???


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OK, I just today finished playing connect-the-dots with regards to your story (I had to cross-reference this thread with your threads at creditboards.com).

Basically, you're a guy who:

1) Cleaned up your credit with the help of CB

2) Formed a plan of attack whereby your identified lenders that will pull each bureau (it looks like about 5-6 each) so as to not get too much damage with regards to excessive inquiry hits on one report

3) Applied for and received about $130,000 worth of credit using this method of blitzing the creditors before accounts started posting--and thusly before they could see you were on a credit spree. In the process, you, an unemployed student, lied to each and every one of them, claiming you made $99,000 a year in order to obtain high limit cards

4) Then in an effort to artifically inflate your credit score, illegally placed fraud alerts on your credit files to dispute the inquiries for the credit you just obtained (Even going so far as telling the people at CB to not post messages to you about the ethics involved, and to stop "preaching" at you about ethics, as this was just "another dirty secret of the credit underworld"--implying you knew ahead of time what you were doing was wrong).

5) Has apparently charged the hell out of these cards and now

6) Wants to declare bankruptcy to avoid paying the debts you've accrued with the creditors who thought they were extending credit to a six figure individual....but you don't want to ruin your credit in the process, as

7) You want to be able to obtain new credit post-BK.

Dude...you've got MUCH larger things to worry about than harming your credit as little as possible. You're attempting to "cheat 'n beat" (defraud) the system, and you're going to get caught. I sure hope you bought some soap-on-a-rope with some of that credit you've illegally obtained, because you've just stepped into a HUGE pile of it...on the one hand, if you don't declare bankruptcy, you're going to be ruined because of your attempts at defrauding the system. On the other...when you walk into BK court, and those creditors find out that not only were you NOT making 99k a year, but weren't even employed? Son, I wouldn't want to be in your shoes right now, cause you be screwed.

I'll be lookin' for your name in the papers. Seriously.

As a general point of reference for the others on this board, this here is a perfect example of what NOT to do; a specimen of the type of person that is the cause of why it's so difficult for you to cure your own problems, and one of the reasons interest rates are as high as they are for many. This, along with just plain common sense and ethical reasons, is why we don't advocate trying to cheat 'n beat the system here. It causes a lot more problems for you in the end than it solves by a wide margin.

I just hope this guy bought his wife some awfully shiny trinkets to motivate her to wait for him to get out of Pound-Me-In-The-a$$ prison.

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Thats what I have Heard Jeep, some people make it through the BK and some people don't. Others have said use it only as a last resort. Of course that last resort is still months and months away and the zero percent offers covered everythingand help to knock those balances down quicker. WIll let you know what happens if choose to cosult an attorney this week or the next. Thanks for offering assistance.

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cookiemonster says"

>>> You then charged enough that you now can't keep up the payments.

Excuse me, But I shopped for zero percent cards to put my balances onto, away from higher interest cards. But If you consider my charging gas on a new card, well then.

>>>>When the bk hits your reports, will you then put another fraud alert on your reports and say someone stole your ID and filed BK in order to get around the accurate reporting?

Never put a fraud alert on my CRA

>>>> Did you at least have a job when you applied???

Yes I do.

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