Purchasing gifts for xmas before filing?

[pinoy0320]

I plan on filing Ch.7 in January. Would it be a bad idea to purchase a couple hundred dollars on gifts for Christmas?

[Flamingo]

This question is asked every year and everyone feels differently. I look at it this way...you are insolvent (broke). Christmas presents this year should be the last thing on your mind - the first being taking care of your own situation. Friends/family should understand and many folks in this economy are just not exchanging gifts this year cause they cannot afford to do so. If you have children, you can maybe do something for them but keep it in reason as Santa is also suffering during this recession.

Next year will probably be a different situation for you and you can make up things then when you should be better off.

[Bell30656]

My daughter isn't the one that mismanaged money and got into the bankruptcy situation. Thus I don't think she should suffer. I asked my attorney about buying Christmas presents and his response was that if my expenditures were reasonable and listed as gifts on my schedule it would be fine. I spent $200 keeping the receipts for everything. Some of the items were clothing and she would really need anyway.

[liz417]

Like Flamingo said, everyone has a different opinion on this subject. We decided to not exchange gifts this year with family members, except for a couple of children in the family (small gift). Our family doesn't know that we are filing BK. I think everyone was relieved when my husband brought up the subject (I think no one wanted to be the first to bring it up), this crappy economy effects everyone and I think people are hurting financially rather they want to admit it or not.

[HHM]

My daughter isn't the one that mismanaged money and got into the bankruptcy situation. Thus I don't think she should suffer. I asked my attorney about buying Christmas presents and his response was that if my expenditures were reasonable and listed as gifts on my schedule it would be fine. I spent $200 keeping the receipts for everything. Some of the items were clothing and she would really need anyway.

Ok...but realize, that "excuse" of..."its for the kids", "they shouldn't suffer", is more of the same thought process that allows peoples spending get out of hand.

If the gifts amount to necessities, that's fine. If you can still pay your neccessary expenses and have some left over for gifts, great. Bottom line, if you don't have the "cash", you shouldn't be buying gifts. Time to do a little work and research other ideas about how to celebrate christmas in alternative ways, do an activity, go someplace, etc.

[Bell30656]

I forgot to mention that I did pay for the gifts for my daughter with cash. The truth is she got about $100 in clothes that she very badly needed (shoes, a coat, pants and long sleeved shirts). For some reason she keeps growing, I've spoken to her doctor about this but he tells me this will continue for a while longer. Then she got about another $75 in toys and a book bag & lunch box (She didn't get one when school started this year and she will soon be taking a packed lunch to school instead of buying every day.)