Using cards for buisness and when to stop paying?

[Snapfish]

We will probably file Chapter 7 in Nov or Dec. Almost all the cc debt is related to our real estate business. We are still using our cards now, mostly for business purchases trying to renovate a few properties for sale, because if we sell them, we may not have to file. Things are looking a little better in the market now so who knows.

We have not missed any payments on any cards yet, but since I don't know whether we will sell any property, I want to be prepared for bankruptcy. I would like to stop paying CC's next month. My question is, should I pay some of them? Doesn't it look strange to stop paying ALL of them? And if I pay some and not others, is that preferential payment?

Would appreciate any advice on this, and also would like to hear from those that had/have alot of buisness debt. If we do file Chapter 7, we were hoping to keep some of our rental properties. It is our livelihood. They have NO equity so I don't think Trustee would sell them, but we can pay the mortages on them and we get our rental income from them. It's not much income, but enough to keep us going.

[diebroccoli]

i have 1 (unplanned) rental and a load of CC biz debt, and am planning to file CH 7 early next month. I stopped using the biz cards as soon as we decided to go down this path, which was about 1 month ago.

We are keeping our biz, but getting rid of the rental, so our situations seem to be a bit different. But, our Attny told us not to worry about when we stopped using the cards, just to stop and file when we're planning to.

Once you decide to file, stop paying them all, or yes it will be preferential payments. Not a big deal for you, but something else the TT will need to sort out.

[jktrading]

We had 135K in personal/business debt. We were discharged without any problems in early April. My advice is to stop using all credit now, and try and pay minimums for atleast 3 months. We did 7 months for added insurance against objections. We saw our BK coming and planned ahead. You may not be able to do this, and you can only do what you can do, obviously.

The way it was explained to us is that the more minimums you can pay after STOPPING all credit use, the more insurance you have against objections. Paying minimums is simply an insurance policy. How much insurance do you want? Or, can afford?

[willbfree]

I had business credit card purchases one month before we quit paying. I was purchasing seasonal merchandise to prepare for the upcoming season when the economy slammed on it's brakes early last fall. The day I contacted BOA business and got laughed at requesting assistance I had no choice. I literally got off the phone with BOA and then contacted an attorney friend for a good bk atty referral. The decision was that quick. Although we didn't file for five more months we used that time to liquidate inventory and follow a plan of action our atty outlined. Talk to an atty and get your time line established. Using that five month period of time appropriately as planned by our attorney we had no creditor objections at our 341 meeting.

[thereshope]

I have business as well as personal debt. The majority of my personal debt was incurred for a business that went under due to the industry and economy. I quit paying when I no longer could pay.