Chapter 7 Success Lawyers Chicago - Do I Have To List All Creditors on My Bankruptcy?

Do I Have To List All Creditors on My Bankruptcy?

Well, people also have this idea in their mind too, and this is from my experience. That okay, maybe I owe only a little bit on this credit card, I owe a bunch of these other credit cards and maybe a car and some medical bills and some other things, but I still want to keep that credit card back. I don’t want to file on this credit card because I may indeed need to do what you were saying that I shouldn’t do again which is, you know, use that credit card and unfortunately go back in the cycle. Am I going to be able to keep that credit card and not report that because I’m going to pay them back when I file my bankruptcy?
That’s a great question. It seems that everybody loves one credit card. They might have ten, they might have twenty, and they might have more. There is one that they want to keep as a safety valve or they just like that company or the logo or whatever benefit they receive from the card. In reality though, they must list all the people they owe money to and the debt will be eliminated. So, one example is when someone doesn’t have a debt on a card, let’s call it a Discover card, by example. Even though there’s no debt on the credit card, Discover is going to find out about the bankruptcy anyway. How are they going to know that?
They subscribe to a database, typically which indexes the social security number and what they’ll do is they’ll terminate the charging privileges because they don’t want to carry a client who has filed for a bankruptcy. So I’m not going to be able, even there is no balance on my credit card.
What you’re saying is more than likely you’re going to cut off my charging privileges? Especially the major credit cards, that’s what I’ve found. You are going to lose your charging privileges. There are some minor credit cards, small gas station cards things like that, that for some reason do not want to terminate the credit card.
So those exceptions just depend upon each individual creditor.
That’s correct. But, people should not think that if they leave something off that it’s somehow going to survive and their going to be able to continue to use it because it’s just won’t happen.
They’re going to lose it, they’re going to get the letter in the mail and they’re going to go down.

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