Have you ever seen this??? Crazy...

[frodo123]

My business is failing, and almost 7 months ago now I had incurred a lot of debt, and pulled out about 60k in cash advances from credit cards to try to keep the business going. I've got a total of about $300k in unsecured debt to wipe out. I haven't had any cash advances in over 6 months, or any large business expenses.

I am looking to file a chapter 7 bankruptcy but I dont know if the judge will go back and make me repay the credit cards. Everything I have read says if the cash advances, etc are 6+ months old there is nothing to worry about.

Anyone have experience with this? Will it even be an issue? Should I wait longer to file?

Thanks

[jktrading]

I'm almost in the same boat. I used my CC's in March and charged an additional 30K in that one month over a few cards to keep the business going. I bought inventory instead of the cash advance, but would imagine if you have receipts and such for what you purchased, it's about the same.

With all the interest and the huge debt I got myself into, I'm just making the $2400 per month CC minimums, and it doesn't look like what I did helped, except for delaying the inevitable. I am in about 135K between my DW and I.

The way I look at it is that we honestly tried to save our business in a final attempt in one swoop, and failed. Others may have a slightly different story than us, but BK court must be full of these types of reasons. Plus, we were not fraudulent and we will not be hiding anything when we have to file.

So, be honest, don't hide anything at all, and you should be fine. If not, what's the worst that can happen? They say you have to pay back a certain amount of debt? You're not being fraudulent or hiding anything, so you're safe from everything else.

I imagine it would be a more difficult time if you owned a house that may be taken. Perhaps a new automobile or two. I am happy in this respect to be a renter and to have two under 1K fully reliable autos for my DW and I.

[AngelinaCatHub]

Both of you will be an asset case for whatever inventory you have. It is honorable to make that last attempt. You gave it your best shot, now it is time to fold not hold. Attempt to sell your invintory back to your supplier at a discount, use that money towards the CC you borrowed it from and it may impress the Judge of your integrety. 'Hub

[jktrading]

Both of you will be an asset case for whatever inventory you have. It is honorable to make that last attempt. You gave it your best shot, now it is time to fold not hold. Attempt to sell your invintory back to your supplier at a discount, use that money towards the CC you borrowed it from and it may impress the Judge of your integrety. 'Hub

I'm actually selling off all of my inventory at a slight to ok profit to keep afloat and paying minimums for as long as possible. I haven't charged anything since the end of March and am almost one month ahead of minimums with no lates as of today.

I should definitely be a no asset case by the end of this selling off period I'm having. And, not using my cards for 6 months to a year may help. Your suggestion would certainly also help, no doubt about it.

Right now, I need to be concerned with getting some expenses down and income up before our BK. My DW just got a $1.15/hour raise, as every bit helps. She's such a trooper.