Credit card debt is one of the most common forms unsecured debts to be
discharged in bankruptcy. If you used your card recently for large purchases it is possible they
may be reviewed to make sure they can be successfully discharged. This
is due to certain charges that may not be eligible for elimination, and
in this case you may want to wait to file your case.
Credit card companies can dispute big charges made on the card if you decide
to file too soon. If you delay your filing you may be able to avoid such
accusations. Unfortunately, some debtors have been known to make large
extravagant purchases within days or weeks of filing for bankruptcy. This
can be considered fraudulent if you know you intend to file for protection
when such purchases are made.
Large purchases (such as luxury services and goods) completed within 90
days of filing or cash advances (over $900) made within 70 days of filing
may seem fraudulent to the court. It can give the impression the debtor
had no intentions of repaying the debt.
In many situations the above circumstances may not apply but it can be
helpful to review charges you may have concerns about with your bankruptcy
attorney in Dallas or Fort Worth. If you have made payments on the card
in the past and used it for necessary living expenses, it may be easier
for debts to be discharged and the credit card company may find it more
difficult to prove any fraud was committed.