Help! Lost job and have recent charges.

[discouraged]

If you have compensation for your job loss, see if you can get paper checks so they can't take anything from your bank and just keep enough in your bank to cover bills. I was lucky as when I was laid off, I received compensation but my debt is more house than credit cards so all I got was the threatening calls, which I just ignore.

[Michellemg]

I need to file for unemployment and then go to a trade school. I am going to do a voluntary repo and get a much cheaper car.

[tcreegan]

1 year? good luck
chase sued me 5 months after i stoped paying my credit cards .....I think they just liked you scorpion...

Michelle, what is going to matter in the Bk is how large the charge and how close to the filing. There is a huge difference between a $600 handbag the month before BK and a $160 handbag six months before BK. BK code says over $500 "luxury" charges to a single creditor within 90 days of filing and/or $750 in cash advances within 70 days of filing are not discharged. After that you get into "how many payments are enough to show intent to pay" "what is luxury, what is necessity" "was it bad faith or just bad money management"

Technical details aside, the reality is a credit card company paying an attorney $300/hr isn't going to worry about anything less than 4 figures and a slam dunk. (and they don't get to object to your total debt, they have to prove this charge, that charge was fraudulent)

If you aren't filing until Sept, cut the cards up now, quit paying, tell them "I can't do anything until Sept", then let the BK court give them the bad news (for them)

Hang in there,

Tom in Colo