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    Credit cards came in the mail...

    Wow! I know I am new to this, but someone please explain this to me. We have an existing Bank of America credit card with an existing balance of approximately $25,000. The credit limit is $30,0000. We filed Chapter 7 on March 10th (last week). We obviously did not make the last payment on this card which was due on February 23rd (about 22 days ago). Yesterday, in the mail comes two new cards to "replace" the existing cards. The cards were not set to expire until 2012 and we didn't request new cards at any time, so this was clearly initiated by the credit card company on their own.

    Here's the catch...the credit card company states in the letter attached to the cards that these cards, with an entirely new account number, are to replace the current cards ending in the current account number and that "any preexisting account balance will appear on this card."

    I'm not sure if Bank of America has been notified yet of our filing for bankruptcy, but I would assume so. We listed them and the $25,000 on our list of creditors to our attorney. So are they just trying to pull a fast one? My guess is that if we activated these cards and/or then used them, we would be in violation of our bankruptcy because we would really be racking up more charges on the old account (even though it has a new account number because it clearly states that this "replaces" the existing account and the existing balance carries over). Also, by doing that, couldn't they get our bankruptcy thrown out? I assume this is a trick to get us stuck paying off this debt to them after all. Am I right?

    Let me just say that we have no intention of opening a new credit card line. We want to start fresh and not end up in the same boat. And, I assume this isn't "illegal", since they are not hiding the fact that this is a new account number but carrying over the existing balance. But, how is this just not plain old wrong? I didn't think the creditors were supposed to contact the debtors once the the filing took place. What am I missing here???

    #2
    I'm guessing it is just a case of the right hand not communicating with the left. We continued to receive balance transfer offers ftom BA for a couple months after we quit paying and filed.

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      #3
      Could be various reasons for re-issuing with new #s. Such as change in card type/terms, to remove rewards/benefits.

      If you filed on the 10th and cards arrived today - I doubt they 'knew' about the BK before the process to send out the cards even started. Notice probably went in the mail to them on the 11th or 12th, 14th was a Sunday so they may have received on Monday. (2 days ago.) Takes 2-5 days to mail you the cards...
      Get mortgage modified: DONE! 7 months of back interest payments amortized, payment reduced over $200/mo
      (In the 'planning' stage, to file ch. 13 if/when we have to.)

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        #4
        The only time we've received new cards with new numbers was when they said there was a "security breach" type problem so they were issuing new numbers to everyone affected. There was no fraud on my account but I ended up with a new number anyway. Maybe that was it?
        attorney consult and decided to file, 02/15/2010
        no-asset Chapter 7 filed, 03/11/2010
        341, 05/10/2010
        discharged, 07/13/2010

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          #5
          the bank has so many different departments that it takes a couple of months for everything to get updated. the department that sent you the new card hasn't been informed of the bk yet, even if the bk department was. ignore the new cards and you'll be fine.

          if you use the new cards you still wouldn't be responsible for any charges prior to filing, only for whatever you charge after filing. but don't risk it...
          filed ch7 May 09
          341 june 09
          discharged, closed Aug 09

          Comment


            #6
            I agree with everyone...

            Don't activate or use the cards. You may want to talk with your lawyer as well, to see if you should amend your schedule and add those card numbers... you sure don't want it coming back to you in the future as a problem.

            You could also contact BoA, and tell them you recently filed BK, and will not be activiating the cards. Maybe, maybe not??
            Filed 10/11/08 - 341 11/23/08 - Discharged 1/26/09
            2/19/09 Stipulation agreement reached w/trustee - Still awaiting Closed Status
            Check my blog at Steve's Bankruptcy Blog Watch day by day what happens with a PITA trustee! - Web Hosting by Broadband Hosting Web Hosting

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