Help, I am starting to freak out!!!!

[HopeinHorizon]

Thank you! Thank you in advance for reading this and responding to calm me down... I think I am going to give myself an ulcer worrying about certain accounts in the bankruptcy...

First off, I listed a charged off checking account where most of the transactions were from a gambling site in July 2005, and I filed on October 14, so basically it was BARELY 90 days before my filing. The amount of the charge off was 2300, and it was with US Bank.

The 2nd account, I opened in July 2005, and never made a payment, I also ran up 900 worth of gambling charges on that credit card. Again, within 90 days of bankruptcy. I have listed $2000 gambling loss on my petition, as I did cash out a mere amount of my money and paid bills... .

This all being said, I have been upfront and honest on my petition about this loss, what is the worst that can happen? Just that these two accounts would not be dischargeable?!!??

As for all other accounts listed, I have not used them since March 2005, and have never been late on any payments ever prior to filing. I had emergency surgery on July 4, 2005 and that was the straw that broke the camels back so to speak. I had been living high on luxury and gambling, which didnt leave me any savings, and then the medical bills started coming in and everyone was demanding money. I didn't feel I was in trouble until August, when I realized $10 to every medical bill was $120 month... I called US Bank and asked what arrangements I could make on my 2k+ chargeoff, they told me $400/monthly, and then gas shot up and with a 30 minute commute, I was paying about $140 more in gas each month...

Oh, and side note, I pulled my credit, and EVERYTHING but my US Bank credit card shows 0 balances and either charge off profit/loss or included in Chapter 7 bankruptcy, does that mean I am in the clear at all with the other companies?!?!?

Please help, my creditor meeting is December 19th!!!

[StaciMM]

I think you're right that the worst case scenario is that you could end up having to repay the more recent gambling debts.

Did you file on your own, or with an attorney? Since you filed nearly 2 months ago, there is a good chance that the creditors would have already been in touch w/ your attorney regarding making a settlement IF they were going to object.

[HopeinHorizon]

I did file with an attorney. He has not contacted me at all. He seemed very laid back with my case and seemed to think it would be no problem. I made a comment that I hoped the creditors would have bigger fish to fry so to speak, and he was in complete agreement... it still scares me tremendously!!!

I am worried who will show up at the creditor meeting, but I keep telling myself that US Bank would have to send a lawyer there to fight for 2300 and the credit card would send to fight over 1100... it might not even be worth their legal expenses, but I don't know. I am in Ohio and US Bank headquarters are in Cincinatti, it would be only an hour drive to show up...

Oh I am so scared, if only I could go back and change the past, so that I would have savings to be prepared for surgery and all the other things that life throws....

As for all the stuff written off my credit report already, is that a good sign?!?!? Of course, US bank's credit card I owe like 7600 too isn't... and that is the only one...

If they were going to try to get a settlement, most companies contact prior to the meeting?!?! I thought they would show up and drill me, then try to get a settlement??

[StaciMM]

The creditors don't want to deal with the BK court. Why? Because the trustee gets to keep part of anything that you pay thru the court!! Creditors are likely to try to work something out with you (Through your attorney of course) rather than dealing w/ the court.

So-if your attorney hasn't heard anything, that is a good sign. I believe there is enough time between the activity & your file date that if they do go thru the court, its up to the creditor to prove fraud and that wouldn't be easy to do.

[down @ out]

Actually you are probably in better shape than you realize. I am in Nevada and I believe a lot of our bankruptcies are triggered by gambling debts to begin with, or they play a significant part in the bankruptcies.

Believe at your 341 hearing you need to let the trustee know that one of the reasons you are in this mess is because you have a gambling problem. Get yourself to a ga meeting and start working the program now. You need to be able to document you have recognized the problem and you are taking steps to deal with it. If you do this you will garner a lot of sympathy.

I know of several bankruptcies out here where folks were getting cash advances only a few weeks before the petition and the trustee let it go. Remember that just because you went gambling didn`t mean you had no intent not to pay the debt. You are in an addiction and you thought you would win. There is a number of bankruptcy cases where this line of reasoning has worked. Keep in mind you didn`t gamble to lose and your intent was to pay folks back.

obviously I assume this is your case. The credit card companies may try to stick it to you and you just may have to fight it out, but at the end of the day you can drive their costs up the wall and hey you may very well win.

Good luck

[HopeinHorizon]

Oh you are making me feel SOOOOOOOOOOOO much better...

I have thought about them trying to prove fraud.... I don't think they could, because I never had one 30 day late on any of my accounts until August... I obviously had attentions of paying everything back until I just gave up hope...

I was working 2 jobs and going to school to make sure that my accounts stayed current... but when I had surgery I couldn't work either jobs for 8 weeks... I had disability through one but not the other...

So if they got a settlement of 1100, then the court would get a portion, they would have to pay an attorney to be present... the creditor amount would dwindle pretty fast... I am so hoping they don't show up... and if they do I hope my past payment history and doing everything under my power to keep things current will keep me out of trouble...

[dumbpig]

I am to worried. I have alot of gambling debts and lots of large cash withdrawls from checking and credit cards in regards to gambling within 120 days of filing. Im now at the final day for objections and no one has objected yet. I believe i lost 60k this year. 30k on cc and the rest of cc debt due to using it to live a normal life. Gambling is tough and will wipe you out and destroy your life. I am seperated from my wife due to it. Hope all goes well. IM still waiting for pacer to say discharged but as other have told me If i havn't heard anything yet it will most likely be ok.

[HopeinHorizon]

Dumbpig...

Thanks so much for replying. Please tell me what happens!!! The only bad thing about mine was I gambled and wrote checks on my account for it. The bank HAS to know that it was for gambling... with you it sounds like you just did cash advances, and they don't know where the money went...

I have lost about 5000 a year, which with my income is a huge amount... I am so ashamed, embarrassed, and can't believe I fell into this trap. I am usually very smart with my decisions, but wow... for the last 4 years I have been living in denial and racked up about 23k worth of credit card debt... 10k probably still from gambling related stupidity...

I really hope we will both be ok... I have learned my lesson, and have stayed away from gambling since I filed...

[dumbpig]

IM in illinois and no one ever looked at my expenses or questioned anything. I hope it stays that way. If the credit card wanted to know they could look at my bank spending as the biggest card was bank one and that was my main bank. I think the amount your talking about is small and they may ignore it. Im no lawyer so I know nothing. Gambling was never verbally mentioned. On my petition it mentioned I lost substantial amount gambling. This was included under the question if you had any substantial losses

[Minnymouth]

HopeInHorizon,

If you were "facing a problem" you would have probably been told by your attorney upfront and he would have already called you when the trustee contacted him.

You should be okay.

Worst case sceneiro is that you would be put into a chapter 13 to repay the gambling debt.... But since it is on cc that are normally unsercured creditors, I doubt that will happen.

Keep us posted, and take things SLOW AND EASY...... BREATH DEEP AND CALM DOWN.......

Minny

[HopeinHorizon]

Thanks again for everyones fast answers and helping calm me down..

I filed on October 14th, and was stressed out for about 2 weeks, then I realized I needed to let things go, and relax, as I didnt have to go for my 341 until December 19th, but now that is getting close and I am freaking.

I really hope that if the creditors were going to cause an issue, they would have already contacted my attorney for settlement arrangements... It has been 2 months since I filed, so they have had time to argue if they wanted... I hope its all going to be ok.

[kansascitylady]

Well I think joining a program on gambling addiction will make your case look better. what I would have done is quit useing cards etc... for about 6 months then file bankruptsy. also show you tried to pay your debt. For me I stoped charging in december 2004 and I tried consumer credit counceling . I filed bankruptsy in july 2005 when cccs failed. All and all the longer you go without useing the credit cards prior to bankruptsy the better. I was never questioned on my debt. i was worried for I owed over 1000$ to the federal government in taxes and some of my credit card balances were well over 5000$ I was never once questioned on where I spent my money. My bankruptsy was just discharged. I am suprised that the government did not go after the 1000$ my lawyer thought they would fight it or say they will keep my 2005 refund but that never happened