Credit Card Bankruptcy in Chapter 7
Credit cards are sued for different purposes. They are established for addicted travelers and online shoppers. In spite of all benefits of such financial service, there are lots of occasions when people are not able to meet all payment obligations and cover their debt on time. This is major reason for thinking of bankruptcy discharge. Bankruptcy credit cards have become rather common during last view years. There is a good solution to such financial problem. Chapter 7 Bankruptcy may turn out to be the easiest and most efficient way to get a financial relief. It not as hard to get into bankruptcy credit cards as it may seem from the first sight. Such situation can be influenced by various factors including poor economy, urgent and unexpected payments, etc. Whatever your current conditions are, you are still obliged to meet all requirements and responsibilities which are prescribed by the agreement. If you are not able to follow them, filing for bankruptcy is the safest and most efficient solution to this problem.
First of all, debt on your credit card after Chapter 7 will depend on several factors. It will be discharged in accordance with shoe factors. You will be offered to pass special means test. In case you are able to complete it successfully, you have a right to file for Chapter 7. If it is determined, that you used misleading or dishonest information while passing the test, your credit card debt will not be discharged. That is why you need to be rather careful while providing necessary information and answering the questions of the means test.
Pay attention to the fact that filing for bankruptcy is rather bad for banks and credit card issuing companies. In other words they will do everything possible in order to prevent you from discharging your debt on credit cards after Chapter 7. You should be prepared for any kind of adversary proceedings which may be forwarded against you.
The most common claims from credit card companies against their clients are connected with the fact that they committed a fraud or provided companies with dishonest information n while obtaining a credit card. For example, some people often exaggerate their monthly income in order to get higher limit on their credit card. This fact may be a good reason that will not leave you any chances to discharge your debts. Also keep in mind that every credit card company will grab the slightest opportunity to use different fraud factors against you preventing for possible debt discharge. That is why you need to be very careful while applying for the card in order to protect yourself from possible problems in future. Moreover you can avoid negative consequences in case you just stop using your credit card when financial problems occur. If you are sure that you will not be able to pay out the debt in the nearest future you should never use your card. At the same time you can try to form a positive credit record paying in time within at least 3-4 month. This factor will also be in your favor. In case declaration of bankruptcy is inevitable, you should decide on which Chapter will be the most appropriate to cope with tough financial situation. You can always consult your bankruptcy attorney in case of necessity.