When can you charge again?

[RickInMich]

I know this is almost a ridiculous question considering our 341 meeting is in three days. Yikes! Anyway, for the heck of it, I just checked one of our credit cards online that we are not filing against. We haven't used that card in over a year, and the balance is zero. But at this point, it's still showing as an active account.

At some point I want to attempt to use that card like to get gas or something just to see if it remains open and so I can begin to re-build my credit score, etc. I know it's highly possible, if not likely, that when they do a normal pull of my credit report, they will cancel the card.

But my main question is when can we charge? Do we have to wait until after the 341? Do we have to wait until after discharge? Can you charge before the 341?

Also, let's say we charge something -- of course, we would only charge small amounts and pay off immediately -- but later they close the account. Will that closing of the account lower our score? Would it be better to just leave it alone so it shows at least some available credit?

Thanks for any info.

[HHM]

Not a ridiculous question, but an EASY answer....After Discharge.

But, after discharge, you may want to check to see if the account is still open before trying to use it. Just because a card was not included (because of a zero balance) doesn't mean the credit card company will not close the account.

[325Falcon]

Gotta get away from the CCs !!!!!!

[stljohn]

Initially I thought the trustee prohibits new credit so out of curiousity I looked at my certification and order of confirmation and it prohibits: "incurring any further debt without prior written approval of the court excepting debts incurred for protection of life, health or property when not reasonably practical to ensure prior approval".

[HHM]

Initially I thought the trustee prohibits new credit so out of curiousity I looked at my certification and order of confirmation and it prohibits: "incurring any further debt without prior written approval of the court excepting debts incurred for protection of life, health or property when not reasonably practical to ensure prior approval".

That is for Chapter 13. In a Chapter 7, the debtor need only wait until after discharge.

[stljohn]

That is for Chapter 13. In a Chapter 7, the debtor need only wait until after discharge.

and how does that differ from a 13?

[poorme]

I can't believe you're asking that question.....

[jp2861]

I can't believe you're asking that question.....

I can't believe you're being so critical of someone trying to learn.

[poorme]

Let's look closer - the debtor is in an active bk, with a 341 hearing in 3 (now 2) days, and doesn't know the difference between a 7 and 13? My question wasn't critical as much as it was perhaps incredulous. How is it that someone ready to go to a 341 is asking how a 7 differs from a 13?

[ssdsco]

and how does that differ from a 13?

[woeisme]

I believe it's the same for both CH 7 and CH 13, you can't incurr new debt until after discharge. I don't think the poster was asking how CH 7 and CH 13 differ, he was asking how is the rule about incurring new debt different, and the answer is that it isn't. It's just that it takes a lot longer to close and discharge a CH 13 case than it does a 7. The important point is, trying to use a credit card just to see if it works before your case closes is ill-advised, as the trustee can decide to dismiss your case and then you're up a creek without a paddle.

[stljohn]

if you're going to talk down to people you gots to understand the question.

Thanks, woe.

[Lindsay]

Rick, I think it would be best to wait until discharge. We have a 0 balance card from Providian and I'm wondering what will happen to it after we file.