Maximum Lookback for Objections?

[willdufauve]

On unsecured Credit Card debt, especially luxury purchases, BK7, clearly outside the 90/70 rule, way beyond the 6 month guideline...is there a maximum lookback time that the CC company can go to object to the purchase? I think I read somewhere there's statutory limit of 2 years?

[backtoschool]

The credit card company can file an adversary proceeding if they believe there was intent to fraud. Their case will be much weaker the longer time that has passed between the charge and filing, but if the sum is for a very large amount of money, they may believe it is worth their while to file an adversary proceeding. Ymmv as to the time limit, but for large charges I would expect that timeline to be over a year or more.

[AKA]

I wish they would go back a full 2 years compared to 6 months. My biggest problem is the money I started making around the time I filed to now, when in reality it was the past two years of little to no income that put me in the position to file and the trustee seems to completely overlook this. I had to borrow money from family just so I could pay bills and my car wouldn't get re-possessed. Now I am paying them back and the trustee starts giving me crap about paying them back.

[backtoschool]

Paying your family back is considered preferential payment, if you have paid them back over $600 in the last year. The trustee will go after them for the money and make you an asset case.

[AngelinaCatHub]

I wish they would go back a full 2 years compared to 6 months. My biggest problem is the money I started making around the time I filed to now, when in reality it was the past two years of little to no income that put me in the position to file and the trustee seems to completely overlook this. I had to borrow money from family just so I could pay bills and my car wouldn't get re-possessed. Now I am paying them back and the trustee starts giving me crap about paying them back.

B2S is absolutely correct. You can bet that the Trustee will attempt to recover the monies you paid to relatives since your filing. We had to pay $5K to ours to keep him from suing our son in law and daughter for monies we paid back. We did this due to ignorance and no proper legal advice. You are getting real world advice here and perhaps you can get by but pay no more. The more you pay the richer your Trustee will get and the poorer you will be. 'Hub

[willdufauve]

I really just want to know if a credit card company can possibly object to high cost luxury purchases made more than 2 years before filing.

[AKA]

I really just want to know if a credit card company can possibly object to high cost luxury purchases made more than 2 years before filing.

I wouldn't think so going far that back, but I'm sure they can try. What kind of luxury purchase and how much? This purchase is likely to be considered an asset the trustee will take notice of like any other asset. I know CC usually do claim if you have continued to use CCs right up to and through your BK. process.

[backtoschool]

I really just want to know if a credit card company can possibly object to high cost luxury purchases made more than 2 years before filing.

We would need more specific information to answer your question. The credit card company can file an adversarial proceeding anytime they feel there has been fraud. If you charged a beachfront condo to your credit card, rented it out for income for two years and never paid on the bill and are now bk'ing the debt, they might feel they have a case, etc.....

Most likely, a charge that was two years back is not going to be able to show intent to fraud, but in order to answer your question we would need specifics.

[HHM]

I really just want to know if a credit card company can possibly object to high cost luxury purchases made more than 2 years before filing.

It would be rare, but not unheard of. If they were going to make that sort of case, they would probably need the credit app and see what you listed as your income.

[willdufauve]

To provide more info...the luxury purchases would be roughly $2,000 each for luxury items that are covered under my exemptions (with one exception which is worth slightly over $600). My credit application income, years ago, was 4 times my current income because we retired 6 months ago and are only getting social security.

[HHM]

Unless you NEVER made a payment, you should be fine.

[willdufauve]

I forget to add, I haven't used the credit cards in almost 2 years and I'm not filing bk until march 2011.
I made a few payments ranging between $280 and $65.

[scorpion35]

I forget to add, I haven't used the credit cards in almost 2 years and I'm not filing bk until march 2011.
I made a few payments ranging between $280 and $65.

i seriously doubt they will file an AP
i wouldn't worry about it

[AKA]

I think you'll be good then.

[frogger]

I wouldn't be worried.