Preference Pmt: Paying Spouse's CC Bills

[RADIO_CITY]

Question on whether paying my spouse's credit card payments (we are married, live together, and are in California) would constitute preference payments. Her credit cards are in her name only.

If I filed (by myself, not joint) Ch 7 would the trustee view these to my wife's creditors as preference pmts ? Would it matter how much I paid down of her debt. Would it matter on the time period. ? It seems like if a year had passed between paying her unsecured debt and filing the look back for insider would have passed. Or would the 90 day look back period apply ?

Could payment on her credit cards be considered an asset transfer (seems unlikely as I would have converted cash to what, unused credit on her credit lines - not an asset) I would pay her credit cards from our joint account.

[Cali]

Question on whether paying my spouse's credit card payments (we are married, live together, and are in California) would constitute preference payments. Her credit cards are in her name only.

If I filed (by myself, not joint) Ch 7 would the trustee view these to my wife's creditors as preference pmts ? Would it matter how much I paid down of her debt. Would it matter on the time period. ? It seems like if a year had passed between paying her unsecured debt and filing the look back for insider would have passed. Or would the 90 day look back period apply ?

Could payment on her credit cards be considered an asset transfer (seems unlikely as I would have converted cash to what, unused credit on her credit lines - not an asset) I would pay her credit cards from our joint account.

How are you filing separate if you are in CA? CA is a community property state.

[RADIO_CITY]

I didn't realize I couldn't file separately - guess I'll have to research that

Thanks

[RADIO_CITY]

I didn't realize I couldn't file separately - guess I'll have to research that

Thanks

I could file separately , but it could raise issues given the CP nature of California - probably best to speak with lawyer

[danaf]

I am filing solo and am in a community property state. Because my cards & debt were mine long before I ever got married. His name has never been on any of my accounts. We've been married less than a year. & If they ever do go after my spouse after discharge - then he will just file. But right now he prefers not to file.

[Cali]

I am filing solo and am in a community property state. Because my cards & debt were mine long before I ever got married. His name has never been on any of my accounts. We've been married less than a year. & If they ever do go after my spouse after discharge - then he will just file. But right now he prefers not to file.

The difference is you had your CC's before you got married. If you had gotten them while married and living in a CP state, I don't think you would be able to file sep.

[HHM]

The difference is you had your CC's before you got married. If you had gotten them while married and living in a CP state, I don't think you would be able to file sep.

Mostly true...technically speaking, she can "file" seperatly from her spouse, but the creditors could still come after the spouse to make good on the debt. Thus, for the most part, most married couples in a CP state tend to file together.

[magyar123]

Question on whether paying my spouse's credit card payments (we are married, live together, and are in California) would constitute preference payments. Her credit cards are in her name only.

If I filed (by myself, not joint) Ch 7 would the trustee view these to my wife's creditors as preference pmts ? Would it matter how much I paid down of her debt. Would it matter on the time period. ? It seems like if a year had passed between paying her unsecured debt and filing the look back for insider would have passed. Or would the 90 day look back period apply ?

Could payment on her credit cards be considered an asset transfer (seems unlikely as I would have converted cash to what, unused credit on her credit lines - not an asset) I would pay her credit cards from our joint account.

Are you paying her credit cards out of a joint bank account? Is her pay being deposited in that joint account?

[RADIO_CITY]

Are you paying her credit cards out of a joint bank account? Is her pay being deposited in that joint account?

yes, on both counts