dispute question
Anyone ever have a credit card company dispute your discharge? If yes, why?
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There are numerous reasons why a credit card can dispute the discharge of their debt. Have you filed BK and did a credit card object to discharge?
Generally, a Credit Card will object if there are major purchases or cash advances within 60 days of the date you file bankruptcy, you have major cash advances or you transfered a balance onto a credit card within 6 months of filing BK, or you lied on your credit application. (these are the most common reasons, but there can be others). -
I did not file (yet). I've been paying the minimum for the last several years and between everything going wrong with my car (expensive repairs) and I settled a civil suit which I wasn't wrong in, but the cost of the settlement was cheaper then years of legal fees. A "LARGE" cash advance paid for the above. It was about 30 days ago. My atty said to wait 60 days to file a ch7. With these "LARGE" cash advances I'm almost certain that it will raise a red flag. I would rather file a ch13 to avoid any potential disputes as well as strip the lein on my truck. I owe 10k and it's worth about 6500(source: Kelly Blue Book). I now owe about 60k on cc's and 10k on the truck. If I have to pay something back in the next 3 years I'll take it as opposed to risking an advisery proceeding. I also want to save my bank account savings & IRA. I don't want to withdraw the money and hide it under the mattress since this constitues fraud.Comment
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Yeah, that sounds about right, even if you waited the 60 days, I suspect the credit card company will still show up to dispute discharge. Generally, when the transaction in question is outside the 60 days, the credit card company will offer a reaffirmation agreement at fairly favorable terms, (50% of what you owe at zero interest and payments on a regular schedule).Comment
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Thanks for the info! I think a chapter 13, especially in it's present form is looking better. I can pretty much keep my bank account, vehicles as long as I pay into the plan my disposable income after "reasonable" expenses and pay back at least what my non exempt assets are valued at. I can also cramdown my truck to pay back only the face value while the upside down value goes into the unsecured pot. As far as applying for credit while on the plan I have NO INTENTIONS of doing so anyway since this is what got me into trouble in the first place. Can I just mail the trustee the monthly or weekly payment directly? I know it has to be certified or money order which I don't mind. I just don't want them to garnish my wage. I know they need to confirm my employment, but I'd rather pay them myself. I live in NYS.
Thanks again in advance!Comment
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