Well, took a while, but I'm screwed...

[Pizza]

I also have a question about creditor objectability:

Back in May, I went to the dentists and it turns out I had to have a root canal. Due in full at time of service, only choice I had was to put it on a credit card - $1900 (does ANYONE have this kind of cash in their wallet?)

So anyway, the creditor, Citibank, Slashed my credit line below the balance immediately, which put me over my credit line, charged me an over-the-limit fee, raised my interest rate to default, and the minimum payment was nearly $1000.

I sent them a letter stating that I could not possibly afford to make the payment they demanded and made it clear that I had no problem making payments until they did this. No response, other than the "you're past due... blah blah blah..." form letters. Until this happened, I had NEVER made a late payment to any creditor, and I continue to pay the credit cards I can afford, but others have gotten wind of my situation with Citi and have started subsequently screwing those accounts too.

Is the $1900 charge going to objectionable if I end up filing Chapter 7? Since the incident, I have stopped charging on all cards and continued my payments. Nonetheless, this is the incident that sent me over the edge, so I'll be facing Ch. 7 sooner or later.

Any thoughts? My 'intent to pay' on the account was there until they did this.

[RainMoM]

From what I've seen here in the forms, If you plan on filing chapter 7, then you need to stop paying on credit cards ! Why would you want to throw away money that you could be useing to pay your attorney for your bk.. I'm sorry to hear what the c.c. company did to you, but know that you are not alone, that has happend to alot of people.. good luck to you ~

[music12]

i think you should be fine. nobody can really claim that medical expenses are fraudulent, and since they really screwed with you, it really is their fault. jmho.

[JRScott]

Have you made any payments on it since the 1900 dollar charge?

[music12]

i think the OP didn't, but it was due to the creditor's unfair actions and not due to any intent not to pay on the OP's part.

[Pizza]

Thanks for the responses. I hate that one incident like this has pushed me into so much trouble. The only reason I'm paying other credit cards is to keep from making it look like I just got ticked off and called it quits on everybody when this one creditor is what screwed me over. I can afford a $20 bill, but not nearly $1,000 to a single creditor.

After it's been 90 days since any credit card charges I'll consult an attorney (probably a few of them), and go by their recommendations. In the meantime, I'm stuck in limbo I suppose..

Creditor objections, while stated as rare, still bother me a bit, so I'm trying to cover my tracks the best way possible.

[Chowder]

You will be fine. It's not like you got a diamond grill.

Get Lawyered up, and follow their advice.

[DeadManCrawling]

Agree with the others, but would caution you to look at your larger financial picture, too.

I doubt that it truly is this one thing that pushed you over the edge. more likely, this is the straw that paralyzed the camel. When we had a similar occurrence, that we thought pushed us over the edge, it took months of reflecting on the matter before we realized it was actually a much longer road than one event. Given that new information, we are able to look back on many more events with a better perspective that (we hope) will keep us from repeating the mistakes of the past.

Good luck, it sounds like you are on the road to recovery in any case, and we wish you all the best in this.

[justplaintired]

You should be fine and put 90 days between that charge and filing. In the mean time plan. Talk to a few attorneys. Find out where you fall in the income level. Are you below median or above. Also, if above where do you fall on the means test? If you are serious about filing, quit paying cc, you are throwing money out the window and that money could be going to an attorney.

[Pizza]

Agree with the others, but would caution you to look at your larger financial picture, too.

I doubt that it truly is this one thing that pushed you over the edge. more likely, this is the straw that paralyzed the camel. When we had a similar occurrence, that we thought pushed us over the edge, it took months of reflecting on the matter before we realized it was actually a much longer road than one event. Given that new information, we are able to look back on many more events with a better perspective that (we hope) will keep us from repeating the mistakes of the past.

Yes, it was just as you say 'the straw that paralyzed the camel', because I had plenty of debts to contend with, they were just managable until this happened, then the downward spiral began. I don't quite understand why banks that claim to be such bad shape deal the cards for a debtor to file bankruptcy instead of playing fair so they can get at least some of their money back. Oh well.

Good luck, it sounds like you are on the road to recovery in any case, and we wish you all the best in this.

Thanks. I appreciate that.

[Pizza]

You should be fine and put 90 days between that charge and filing. In the mean time plan. Talk to a few attorneys. Find out where you fall in the income level. Are you below median or above. Also, if above where do you fall on the means test? If you are serious about filing, quit paying cc, you are throwing money out the window and that money could be going to an attorney.

I took the means test online twice and I have -$950 a month leftover to pay creditors in a Ch.13 plan.

Your advice is good. Technically, I'm already past 90 days from the date of the charge, so once the phone # is changed, I'll set up a consult and (under advise of the attorney) stop paying them all and get this nightmare overwith. It's a no asset case, I'm sure of that, so as long as I don't have to worry about objections, it should be cut and dry.

[eddiep]

Don't worry about that charge as justplaintired pointed out as long as there are 90 days between the charge and filing you will be fine. I know 1900 seems like a lot to you but... The worst case would be that one charge would not be discharged, but that is very unlikely. They are looking for fradulent charges like spending sprees, vacations or cash advances take just before filing. If they were to fight it you would have a good defense as you were making payments, the one charge pushed you over the edge and you were unable to make a $1000 payment. It doesn't seem at all fishy to me and I am sure it will not to a trustee.

[Pizza]

Don't worry about that charge as justplaintired pointed out as long as there are 90 days between the charge and filing you will be fine. I know 1900 seems like a lot to you but... The worst case would be that one charge would not be discharged, but that is very unlikely. They are looking for fradulent charges like spending sprees, vacations or cash advances take just before filing. If they were to fight it you would have a good defense as you were making payments, the one charge pushed you over the edge and you were unable to make a $1000 payment. It doesn't seem at all fishy to me and I am sure it will not to a trustee.

Honestly, if they'd reverse the damage, I'd just pay them the dang $1900, but what good would it do? It took no time for my other creditors to start jumping up interest rates and closing accounts once they hit my credit. I mean, they gave me a credit line and I used it to pay a bill... then... 'ooooh, you big spender, we want it all NOW!'

The last balance transfer I made was in October to another creditor and I buy offbrand cokes and shop at Big Lots for V8 juice, LOL, yes the debtload has increased but expensive car/house repairs, $4 gas last year, and other things came up. I tried my best to repay and I failed. Thanks for the input.

[lrprn]

Many folks are feeling the pain of their credit cards. It's a tough pill to swallow, but when you sign a "blank check" agreement that gives the cc lender the right to change any of the terms whenever they want without a reason, this is what happens. Doesn't make it fair - it's not - but fairness doesn't count when the law is concerned. What the cc companies did by raising APRs and reducing upper limits is legal, and unfortunately that's all that matters.

[LuciluS]

I took the means test online twice and I have -$950 a month leftover to pay creditors in a Ch.13 plan.

Your advice is good. Technically, I'm already past 90 days from the date of the charge, so once the phone # is changed, I'll set up a consult and (under advise of the attorney) stop paying them all and get this nightmare overwith. It's a no asset case, I'm sure of that, so as long as I don't have to worry about objections, it should be cut and dry.

If you know you will be filing bankruptcy in the near future (within a year), I would reccommend you stop paying Everything you wish to include in your Bankruptcy, especially the Credit Cards. You are wasting your precious money as the balances will be discharged in your Chapter 7 bankruptcy.

Take that money to pay your Attorney or whatever...Just don't pay the Credit Card Cos. We haven't paid since late last September when we met with our BK Attorney. Our target date is filing 9/30/09 using Mar-Aug Gross Income.