Confused about credit cards

[Tater]

[QUOTE=ksgirl38;570363][QUOTE=Tater;570333]

All the attorneys I've spoken to have indicated it's not a concern.

I'm actually not all that concerned about the BK. I have to say that I find that most of the people in this forum seem to be overreacting, but then I don't know all their details. Mine is a pretty simple situation. Just credit card debt and I continue to pay on my car and student loans. I'm actually looking at it as more relief in the fact that I won't have that huge debt hanging over my head and the sleepless nights anymore. Obviously this isn't the road I wanted to go down, but sometimes life just throws you things you have to deal with.

How do you pay for an airline ticket with cash? Seriously, I want to know. I always buy mine online so I don't know how you would do that. How do you stuff a $100 bill into the laptop to pay for it. I'd really like to know. Not that it matters, but I have mentioned several times now that I've found a better option.

I'm not trying to come across as a total B**** here, but I'm getting really tired of the reprimands. No one here knows my situation. No one has seen my bills, no one knows what my salary is and no one knows what other financial obligations I have. Obviously it's hard to get all the information out in a forum, but the negative criticisms aren't appreciated and I'm getting a little tired of the attacks. My credit score is currently 764, or 786 depending on which credit report you go off of, what's yours? I've never made a late payment and am current on everything. I've never had anything repossessed and I'm probably more frugal and better at budgeting than most of the people I've seen on here, but somehow I'm the one labeled as a credit card abuser. I take offense to that. Unfortunately due to some past unemployment and a current job that doesn't pay as much as I wish it did I just can't get ahead on the payments. Rather than wait until my credit score drops and bill collectors start calling I'm taking the proactive approach now and handling it in the best way I can.

I started my Christmas budget in January. Did you? I have cash set aside already for that and it's figured into my monthly budget.

No one here is reprimanding you. You asked a question and people are replying to it. As I stated in another post, I didn't know the personal circumstances behind your credit card use. My replies have gone off what you posted. You can purchases an airline ticked by cash when you use a debit card or even prepaid credit card. I related to this what our attorney told us. Once you even consider filing for bk, STOP using your credit cards. No matter the reasons behind the credit card use, it can't be used as a crutch anymore. This is my view only on it. When I got laid off last year, I stopped using credit cards all together. We were already in enough debt so I didn't see how this was going to help our situation. Have I used credit cards to get by on? Absolutely. The last year has taught us not to do this.

Do I worry about the bk process? Yes, I do because I don't want to be accused of fraud for something that could have been prevented. Whether it be a purchase of an airline ticket or buying a tank of gas on the credit card. People are just trying to tell you to be careful and not take unwarranted chances if you plan of filing for bankruptcy. It's good that you have a budget in place but why are you still using credit cards? I don't see anyone calling you a credit card abuser. Some may wonder why you are still using them or planning on using them if you plan to file bankruptcy.

[ksgirl38]

[QUOTE=Tater;570372][QUOTE=ksgirl38;570363]

No one here is reprimanding you. You asked a question and people are replying to it. As I stated in another post, I didn't know the personal circumstances behind your credit card use. My replies have gone off what you posted. You can purchases an airline ticked by cash when you use a debit card or even prepaid credit card. I related to this what our attorney told us. Once you even consider filing for bk, STOP using your credit cards. No matter the reasons behind the credit card use, it can't be used as a crutch anymore. This is my view only on it. When I got laid off last year, I stopped using credit cards all together. We were already in enough debt so I didn't see how this was going to help our situation. Have I used credit cards to get by on? Absolutely. The last year has taught us not to do this.

Do I worry about the bk process? Yes, I do because I don't want to be accused of fraud for something that could have been prevented. Whether it be a purchase of an airline ticket or buying a tank of gas on the credit card. People are just trying to tell you to be careful and not take unwarranted chances if you plan of filing for bankruptcy. It's good that you have a budget in place but why are you still using credit cards? I don't see anyone calling you a credit card abuser. Some may wonder why you are still using them or planning on using them if you plan to file bankruptcy.

I'M NOT! Maybe I was a few weeks ago, but I'm not now!

[ohiogal]

What option did you decide on to buy the plane ticket? I'm all curious now.

[tobee43]

Could it vary by state? Until recently I just didn't know of any other option. I've only heard of one other person that's mentioned how they dealt with this situation.

more likely by trustee to trustee. some just look under every single rock while others don't delve that deeply. it a luck of the draw, that's why it's best to be as careful as possilbe.

yes, you can buy a plane ticket by cash, but you have to go to the airport. or once we went in the san fran bay area to corp office of virgin america. so it can be done, it's just a hassle.

also, i have only heard of two times it was question of course not like i would ever be likely to know everyone's situation. but what i do know about those particular two situations, is the trustee asked for the tickets and who know what or how they redeemed them. scary stuff!

[ksgirl38]

more likely by trustee to trustee. some just look under every single rock while others don't delve that deeply. it a luck of the draw, that's why it's best to be as careful as possilbe.

yes, you can buy a plane ticket by cash, but you have to go to the airport. or once we went in the san fran bay area to corp office of virgin america. so it can be done, it's just a hassle.

also, i have only heard of two times it was question of course not like i would ever be likely to know everyone's situation. but what i do know about those particular two situations, is the trustee asked for the tickets and who know what or how they redeemed them. scary stuff!

Somehow a trustee taking plane tickets during a BK case sounds a little like fraud to me. Suspicious anyway. Anymore it's hard to get a good price and that usually requires that it be non-transferable and non-refundable.

[tobee43]

Somehow a trustee taking plane tickets during a BK case sounds a little like fraud to me. Suspicious anyway. Anymore it's hard to get a good price and that usually requires that it be non-transferable and non-refundable.

i have heard them take worse than plane tickets. and, for all i know, since i don't know what happened to them, the court could have worked something out with the airline. i just do know it has happened.

however, my feeling about it is this. i know people saying buying the ticket is fraud knowing you are going to be filing...and because it's for the holidays and so on and so forth.
but, it's a chance many take and many trustees don't go looking around for airline tickets unless there were other situations that presented themsleves as being questionable. you should read on this forum some of the things trustees took that really didn't have any value or they sold the item/s at a loss...i'm just saying i know you're from kanss the "show me state" LOL!!! (i have been in kanas and really do like it). hopefully the trustees are nicer out there in the midwest, however, i now one thing for certain here in the middle district of florida they are becoming a nasty group.

[ohiogal]

Somehow a trustee taking plane tickets during a BK case sounds a little like fraud to me. Suspicious anyway.

When you file for bankruptcy, you give the trustee legal authority to take anything and everything you own (minus exemptions) to pay off your creditors - from a plane ticket to your grandmother's antique wedding ring. It's his job to liquidate any assets you have and give the money to your creditors. AND he gets a cut - so he has an incentive to seize anything he can.

Many times he won't do that, because most people don't own anything that would net enough cash to be worth the effort (I didn't). But of course there are exceptions - things like real estate, large luxury items like sports cars and boats, expensive jewelry, etc.

What sort of a deal a trustee has with the airlines, I'm not sure, but there must be something if they seized the tickets. I suppose you could ask your attorney if you're curious about how that works.

In any case, I wouldn't make any large luxury purchases on a credit card and then turn around and file bankcruptcy. (ksgirl, I know you said you aren't going to do that - I'm speaking generally). Even if the trustee doesn't take the ticket, he could still dismiss your case under presumption of abuse. Then you have a BK on your record, but no discharge. Worst of both worlds.

I'm still curious about what option ksgirl is going to use to get that ticket. :-)

[mountanddo]

Actually I'm not completely sold on the idea yet. I kind of falter back and forth. Maybe 60/40 at the moment. I'm still in the gathering information stage, but the attorney I saw yesterday was impressed that I knew much much more than any of his other clients ever had. I'm still researching.

Nevertheless you still have some idea that you can't pay your debts or you wouldn't have consulted not one attorney but three. Making purchases after you know you are in financial trouble could be considered fraud. As far as your credit card company having travel insurance or anything like that once you default on the card I don't think that they are going to honor that as you would still have an outstanding balance. If you already have money for your Christmas budget, why not just take that money and buy the ticket? Did you include the plane ticket in your budget every year? Just so you are aware, plane tickets for Christmas trips normally are not approved on ones budget in a C13. You will need to find that money somewhere else and do without something that is acceptable to afford it. If you budget $400 for food, you spend $300 and use the extra $100 for the ticket.

You could also buy a Visa gift card and use that for online purchases. I do it all the time. You are going to have to figure out how to buy your tickets in the future without a credit card.

If you were that knowledgeable about bankruptcy you would know that already trying to figure out how to rebuild your credit with a credit card before you've even decided to file is not very smart thinking. I wouldn't worry about buying a house or when you can buy a house before you have thought about having an emergency fund to get you through if you should become unemployed again. You, yourself said that you were unemployed twice and that is what got you in trouble in the first place. Now you know what amount of money it would take to survive that without credit cards. You need to plan for that.

[ksgirl38]

i have heard them take worse than plane tickets. and, for all i know, since i don't know what happened to them, the court could have worked something out with the airline. i just do know it has happened.

however, my feeling about it is this. i know people saying buying the ticket is fraud knowing you are going to be filing...and because it's for the holidays and so on and so forth.
but, it's a chance many take and many trustees don't go looking around for airline tickets unless there were other situations that presented themsleves as being questionable. you should read on this forum some of the things trustees took that really didn't have any value or they sold the item/s at a loss...i'm just saying i know you're from kanss the "show me state" LOL!!! (i have been in kanas and really do like it). hopefully the trustees are nicer out there in the midwest, however, i now one thing for certain here in the middle district of florida they are becoming a nasty group.

Kansas isn't the "show me state." One of the lawyers I talked to seem to know the trustees pretty well and when I mentioned I needed to buy an airline ticket he wasn't concerned at all and we came up with an alternative anyway.

[mountanddo]

[QUOTE=ksgirl38;570374][QUOTE=Tater;570372]

I'M NOT! Maybe I was a few weeks ago, but I'm not now!

Well now that simply is not true. In another post on May 10th you said you just used your Mastercard a few days ago and you had a zero balance on it.

[mountanddo]

Kansas is the Sunflower state, Missouri is the Show me state....not that it really matters as they are right next to each other.

[ohiogal]

One of the lawyers I talked to seem to know the trustees pretty well and when I mentioned I needed to buy an airline ticket he wasn't concerned at all and we came up with an alternative anyway.

And that alternative was...?

[lillymarlene]

I accidentally used a credit card about a month before filing. My attorney insisted he had told me months before that to cease using them, but I'm hard of hearing. I also didn't know about this forum. I was lucky I guess, that it was never brought up at my 341, most likely because the amounts were fairly small; the total under $150.

I'm curious too, about what alternative you were able to use to buy your ticket. My attorney said to start using debit cards for most things like online purchases, tickets, etc. I don't know what other alternative there would be, outside of driving to the airport to use cash.

[ksgirl38]

I accidentally used a credit card about a month before filing. My attorney insisted he had told me months before that to cease using them, but I'm hard of hearing. I also didn't know about this forum. I was lucky I guess, that it was never brought up at my 341, most likely because the amounts were fairly small; the total under $150.

I think the people on this forum have a tendency to scare you. Everytime I've brought up something I've seen here with an attorney they just laugh and say not to worry about it. I think the trustees are looking for that person that goes out and racks up $2000 in charges the week before filing, not the person who charges a tank of gas or groceries by mistake.

[lillymarlene]

I think the people on this forum have a tendency to scare you. Everytime I've brought up something I've seen here with an attorney they just laugh and say not to worry about it. I think the trustees are looking for that person that goes out and racks up $2000 in charges the week before filing, not the person who charges a tank of gas or groceries by mistake.

Maybe... but at the time my attorney found out that I was still using cards, he practically went ballistic. He said just stop using all cards, since that could be considered fraud.