Chapter 7, lines of credit, cash advance, and dad?

[Guzmfl11]

My dad was telling me that he filed 13 years ago chapter 7, he said he maxed out all of his cards and did cash advances and then filed bankruptcy. It was unethical but he was in a terrible position that required him to take care of some crazy expenses from another country---long story.

Now to the point, I am planning on filling soon, but my dad is telling me to get 2-3 new credit cards and cash advance everything out to help pay for attorney and to help pay for a new car that I need. He said he was able to do it 13 years ago and that I should just wait 4 months before filling.

Unethical? Yes.

But desperate times call for desperate measures.

Thank you for reading.

[justbroke]

I can't advocate this at all. It is actually fraud to purposefully charge up credit cards, or use credit, with the intent to defraud or otherwise obtaining credit with no intention to pay it back.

It's that simple.

There's no need for me to expound on the topic.

[despritfreya]

13 years ago fraud was dischargeable in Chapter 13 so your dad got away with it. Fraud, if timely raised and successfully prosecuted, is no longer dischargeable in ANY bk.

Des.

[bcohen]

We cannot advocate opening new credit cards, taking out new loans, etc, when you know that you will be filing for bankruptcy. That would be considered fraud.

However, there is nothing to stop you from using the credit cards which you already have for necessary living expenses--such as food, fuel, medication, etc--and then discharging the debt in your bankruptcy. Also, it is very common to purchase a car immediately before filing, because one can often obtain better financing before the bankruptcy hits their credit reports.

[LadyInTheRed]

Yes, it is common to buy a car before filing BK, but with a car loan, not by taking cash advances on credit cards.