Chapter 13 questions

[Lvf815]

I have filed for chapter 13, had my creditors meeting and because I don’t have a super complex case (no property, don’t own a car, etc.) my confirmation hearing was a month after. This was nov.1 but I’ve heard nothing from my attorney other than some paperwork I received that says “proposed” stamped across it and “order confirming chp 13”. Is this my confirmation? How and when do I find out it’s been confirmed?

a few other questions: I have a company credit card via American Express but I am just an authorized user, it was never on my credit reports and I pay through a t&E portal at work. I see the card has been cancelled, can I get this back? I will have work travel and expenses. I work for a large company, I’d prefer to not have to tell anyone such as HR my situation. I go back and forth on feeling like a failure but also relieved cause this situation was making me ill. Has anyone had this problem and we’re willing to get Amex to reopen the card?

a few other questions: I have a company credit card via American Express but I am just an authorized user, it was never on my credit reports and I pay through a t&E portal at work. I don’t get a bill, again it’s in a system at work. I see the card has been cancelled, can I get this back? I will have work travel and expenses. I work for a large company, I’d prefer to not have to tell anyone such as HR my situation. I go back and forth on feeling like a failure but also relieved cause this situation was making me ill. Has anyone had this problem and we’re willing to get Amex to reopen the card?

I get a bonus once a year, will I have to hand it over? I know I do if I get a tax return (I’m not on a 100%payback) but no one in my attorneys office has given me a straight answer on a bonus and I kept the latest one cause it was after my filing. Wouldn’t the trustee see this in my tax paperwork?

lastly: what is the best way to build credit while in chp 13? Getting a secured card? I see I have pre approvals already for unsecured cards but it’s not a guarantee and I can only obtain 1k of new debt or I need court approval. Any suggestions on credit cards that are friendly while in BK? I just want one for emergencies or when I go to visit family and need to rent a car. Otherwise I plan to use my cash but would love to start the rebuild.

Thank you in advance!

[Lvf815]

Hi all,
I have filed for chapter 13, had my creditors meeting and because I don’t have a super complex case (no property, don’t own a car, etc.) my confirmation hearing was a month after. This was nov.1 but I’ve heard nothing from my attorney other than some paperwork I received that says “proposed” stamped across it and “order confirming chp 13”. Is this my confirmation? How and when do I find out it’s been confirmed?

a few other questions: I have a company credit card via American Express but I am just an authorized user, it was never on my credit reports and I pay through a t&E portal at work. I see the card has been cancelled, can I get this back? I will have work travel and expenses. I work for a large company, I’d prefer to not have to tell anyone such as HR my situation. I go back and forth on feeling like a failure but also relieved cause this situation was making me ill. Has anyone had this problem and we’re willing to get Amex to reopen the card?

I get a bonus once a year, will I have to hand it over? I know I do if I get a tax return (I’m not on a 100%payback) but no one in my attorneys office has given me a straight answer on a bonus and I kept the latest one cause it was after my filing. Wouldn’t the trustee see this in my tax paperwork?

lastly: what is the best way to build credit while in chp 13? Getting a secured card? I see I have pre approvals already for unsecured cards but it’s not a guarantee and I can only obtain 1k of new debt or I need court approval. Any suggestions on credit cards that are friendly while in BK? I just want one for emergencies or when I go to visit family and need to rent a car. Otherwise I plan to use my cash but would love to start the rebuild.

Thank you in advance!

[justbroke]

I moved and merged your post here since it asks the same questions.

[justbroke]

Welcome to BKForum!

I have a company credit card via American Express but I am just an authorized user, it was never on my credit reports and I pay through a t&E portal at work. I see the card has been cancelled, can I get this back? I will have work travel and expenses. I work for a large company, I’d prefer to not have to tell anyone such as HR my situation. I go back and forth on feeling like a failure but also relieved cause this situation was making me ill. Has anyone had this problem and we’re willing to get Amex to reopen the card?

Usually the company HR department would need to guarantee the card for a limit of about $5,000. My card was cancelled as well and I didn't really see any reason to try to get it guaranteed by the company. Remember, the corporate AMEX is a joint responsibility if you have the "corporate" version of the card.

I get a bonus once a year, will I have to hand it over? I know I do if I get a tax return (I’m not on a 100%payback) but no one in my attorneys office has given me a straight answer on a bonus and I kept the latest one cause it was after my filing. Wouldn’t the trustee see this in my tax paperwork?

You'll hate this, but it depends. Too many factors including your district, your Chapter 13 Trustee, and how your attorney arranges your plan. One way to not turn it over, at least in Florida, is either to bake in the average bonus into the plan (which I think is a bad idea) or just turn it over. The calculations are tricky and I don't suggest the "bake in the average" approach. The reason is that your payments will be higher in every month since it is spread out across the months. And then, if you get no bonus because it's conditional on performance of the company, you just paid in more than you actually earned.

What is the best way to build credit while in chp 13? Getting a secured card?

You are usually not allowed to incur debt during a Chapter 13. Of course many things depend on your district, trustee, and case. I was able to get a $5K secured card during my Chapter 13 because I needed it for work travel (remember, I lost my corporate AMEX). In a Chapter 13 you're not trying to build credit. You're trying to survive the Chapter 13. If, incidental to maintaining your payments in a Chapter 13 you just happen to benefit from a secured card or an auto loan still reporting, then that's a plus but not a requirement.

[pennypoor]

I too had to get a secured card after a few years of just using debit for work travel. The problem with debit is the holds on car rental and then on some hotels. Most just took the debit without issue. But the rentals were my cryptonite every time.

Here's how my argument went, my work is essential to my chapter 13. My work requires I travel. I'd give an example of one week and the charges for them. Sometimes in excess of 1k. They came back with no problem, go and get a secured card.

Every trustee is different. I've heard of some not caring and I've heard of some no way to a secured card no matter what. Check with your attorney and explain the details of why you need it. Believe it or not, it helped me on the way to rebuilding as I just found out yesterday. Good luck.

[Carmella]

This is something you should talk to your attorney about so it can be handled correctly and hopefully before the confirmation or you might have to get a court order. At this point it sounds like you are only allowed to have $1,000 and maybe that could work if you can get a secured card and use that for your travel if $1,000 is adequate for the expenses.

My HR had to know about the BK 13 because there was automatic payments from my paycheck. That was required in my state, I didn't have an option to make the payment on my own. I could only pay the car and house/HEL "outside the plan." As far as I know no one else in the company knew that I was in BK except for the HR/Payroll department. They were located outside of the building I worked in so I was glad that there wouldn't be gossip. I was able to correspond by email when I had to with the HR/Payroll and as far as I could tell it was handled confidentially and professionally.

Another thing don't worry your workplace. They most likely have other employees who have gone through bankruptcy. BTW if you don't know of anyone in the workplace that has gone through BK that probably means it's kept confidential! I know the stigma of BK, but I was sure surprised to find out how many people I know or know of who went through bankruptcy. Some were people I overheard talking to others, at the work place,but people I was not "friends" with. When I went on PACER I randomly searched people, I felt like a snoop, but I kept the info to myself I didn't gossip about them. I was surprised my CPA who has done taxes in our family for 20+ yrs went thru BK 13, the manager at my daughter's apartment when through BK. She offered that info when all I said was I couldn't sign for my daughter because I had bad credit.

I think these concerns need to go to your attorney. He has probably heard these questions before and knows how the trustee usually handles the situation. Ask soon since your company requires travel and since the cards were cancelled the company be aware of that.

As for rebuilding credit. You can't really rebuild until the BK is over. It does stink because I made all the house/car payments and there's no credit for that as far as the credit score goes. I was able to get an Ollo (which is now owned by Ally) credit card during the BK, but it had a very low amount and I didn't apply until midway through the Chapter 13. My husband and I were allowed $500 credit each.

I wish you well. It's a tough journey, but we come out of it better than we were before.