Are we allowed to get CC before Discharge?

[emiss]

We had our 341 hearing and our discharge should come through in the next month or so. I have no great interest in getting a credit card but for my job I sometimes have to make purchases and then I get reimbursed for them in a week or two. It's getting very stressful lately because I can't tell my supervisor that I can't put out the money for certain things because they look at it and say "yes, but you get reimbursed in a week". Next week I'm going to a conference for 5 days. Everything is reimbursed, but I'm worried that I'll overdraw my account while I'm there. I got an offer for a credit card through Cap One, very low limit, and I'd just use it for work expenses. The question is less about "is this a good idea" although you're welcome to share your thoughts on that, but more, is it allowed to get a card before discharge or is that breaking some kind of pre discharge bk rule?

[Peeps]

Do you have a reasonable employer? I know it's a luxury that many people don't have, but if that's the case you could make a case for a shift to "corporate cards."

Point out that it's not realistic in this economy for any company to expect employees to outlay personal cash for company expenses, even if they are reimbursed later. If you're feeling a strain it's likely that others are too, but they're not speaking up. You might note that credit cards issued to employees on behalf of a company can "significantly streamline" the purchasing and approval process which saves time (read: manpower). Less paperwork and less risk of theft (assuming each card's use is routinely reviewed). These cards do not require employee credit checks and do not reflect on an individual's credit report. You never know... your organization might appreciate some out-of-the-box thinking on this. Show them how they can save money.

And if you think they won't respond to that, then perhaps just a quiet convo with your supervisor about how your finances are strained, like so many millions of other people in this country, and paying for company expenses represents a financial hardship even if they are eventually reimbursed. You might have to be firm and say "I just don't have the means to do it." Sometimes supervisors just don't "get" that people have a different financial situation than their own (I'm speaking from experience on this one).

It probably varies by state and by trustee, but I'm going to venture a guess that trying to get a new credit card before your discharge might not be a terribly good idea. Why risk your own financial well-being when it's your company that can't get it's ducks in a row?

[emiss]

I agree with you completely in terms of the value of a corporate card but the line of work I'm in (education) can't/won't really go that route. The issue I'm faced with is that the conferences and courses that I'm being asked to attend aren't mandatory, but they're very important in terms of keeping my job. The conference next week is a national conference that I was invited to speak at and my employers are paying my entire way (which is a very big deal since they didn't "have" to) but they're not going to give me the money up front (they need receipts to reimburse). These things don't happen all the time, but I'd say about 2-4 times a year this kind of thing comes up. I'm completely fine with having a card since none of the financial issues we had that lead to BK dealt with out of control spending; I just don't want to do anything illegal pre-discharge.

[Peeps]

Oh my, well that certainly complicates things. So much for a cut-and-dry option (it's always so rare to get one of those).

Sorry I don't have any better answers for you (newbie, here). It'll be interesting to see what people with more experience have to say on the topic.

[emiss]

Thanks for trying Peeps. I'm just so grateful for this forum for all of the information and support I'm finding here. I'm sure I'll get some helpful responses, and I'll probably get in touch with my attorney too, since I really don't need to pile bad move on top of bad move at any stage of this crazy game.

[bk2009]

I don't think you're allowed to take on any new debt before discharge. That's just my recollection from reading the forums here.

That said, what will you need to be charging while you're there? Perhaps we can come up with ways for you to save some money when you go so you won't have to worry about overdrawing your account. Eating out? There are coupon sites that you can purchase $25 gift cards for a fraction of the price, things like that.