Am I in trouble? Need advice.

[glebus]

Hi, all. Here is my situation. I am from Russia and have been living in US for 5 yrs. I have alvays had perfect credit with a score about 750. Last October my wife and I decided to come to Russia to live and work for some time. Within 2 month we charged all my credit cards and took cash advances before we left. Total charges were about 70 K. There were charges for vacation trip and a golden ring, among all. My plan was to sell one of the houses my family has when going back to US and repaying the cards. But it did not work out this way. We want to come back by the end of the year. I have about 35K in cash I can use to repay. Besides the cards, I have a federal loan to repay, abt. 8 K. I did not make a single payment on any card since January this year. I am thinking of filing a BK, but I am afraid that the case will be dismissed and classified as fraud. :-( What are the options here? Thanks for any ideas.

[southernbelle]

Just a suggestion, but if you have $35k in cash and a house available to sell (assuming it has equity), why would you file bk? In my opinion, you sound like you are in a better situation than most of us here, but looks can be deceiving. Have you tried to work out some type of repayment plan directly with your creditors? If not, it might be worth trying if you have a decent job and can keep up the payments to get caught up and paid off.

However, if you have a substantial amount of other debts like from a failed business, medical bills, taxes, or are unemployed then you might need to consider the relief bankruptcy can offer and might need the money on hand to make ends meet.

I don't know about your case being dismissed due to fraud, but if you have non-exempt assets the Trustee could liquidate, you could loose them and be forced to deal with a bankruptcy on your credit report for the next 10 years. Think the decision through carefully before you file because it might not be easy to back out of filing bankruptcy or get your case voluntarily dismissed afterwards.

If you decide to file, you might want to look into exempting your cash on hand through an IRA.

I would talk to several bankruptcy attorneys first to get some advice before you decide. Good luck to you.

[morallyBR2]

If you give me the 35k then you won't have any problems what so over. I'm willing to accept that money and deminish my chances of a successful chapter 7 in order to help you out though I'm just a helpful person like that!

[JRScott]

As SB says you might be able to get yourself out of this without a bankruptcy.

If you have 35k in cash then you have to realize that most likely in a bankruptcy that money would be taken by the trustee and distributed to your creditors.

Do you have a job prospect in the US?

[glebus]

As SB says you might be able to get yourself out of this without a bankruptcy.

If you have 35k in cash then you have to realize that most likely in a bankruptcy that money would be taken by the trustee and distributed to your creditors.

Do you have a job prospect in the US?

Thanks everybody for answers. I do have some prospects of job in US, but they are not certain now. I have no assets/property in US. All I have is 35K cash. By the way, when I withdrew cash from the bank, they say they would report withdrawal to IRS. What consequenses this may have?

[glebus]

Many thanks :-)

[Flamingo]

Thanks everybody for answers. I do have some prospects of job in US, but they are not certain now. I have no assets/property in US. All I have is 35K cash. By the way, when I withdrew cash from the bank, they say they would report withdrawal to IRS. What consequenses this may have?

You probably withdrew more than $10,000 at one time. The bank is required to place alerts/inform certain agencies on a person when certain deposits or withdrawals over a certain amount are made due to money laundering and other factors. At this point since you have not paid any bills since January you will start having judgments placed against you for the unpaid debt and garnishments of your wages can occur as soon as you start working in the US. I am not familiar with international laws as to that so I can't say it that would stretch to your wages overseas but if you are a US citizen with a SS number, they can get you. I would suggest consulting with an attorney as to your situation so you can find out exactly what can happen to you financially or other wise here and find out excactly what you should do in your situaition.

[JRScott]

As Flamingo says withdrawals/deposits/transfers that pass a certain threshold are reported to the IRS and other agency. It is standard.

[glebus]

Flamingo, thank you. I understand about garnishments, but one thing bothers me the most: can they put me in jail for not paying for so long when I come back? I have intentions to start paying off as soon as I come back. Speaking of attorneys, I never dealt with them, and wondering if any of them can give a consultation via email.

[Flamingo]

Flamingo, thank you. I understand about garnishments, but one thing bothers me the most: can they put me in jail for not paying for so long when I come back? I have intentions to start paying off as soon as I come back. Speaking of attorneys, I never dealt with them, and wondering if any of them can give a consultation via email.

I don't believe you will find an attorney who gives consultations via email. You may want to check in your area wherever you are now overseas and look into consulting with an attorney familiar with international laws who can advise you as to your situation and questions.

[bmcmull]

If the 70k is in unsecured debt and the banks all think you are in Russia, it would take them a long time to catch up to you. Put some time in between your cash withdrawls and spending on the accounts. I would look into filling some time next year. In the US they dont put people in jail for frivolous spending (thank goodness), they just encourage you to spend more, it is after all what keeps the economy running. Put your 35k in an a offshore account, and change your name.

[BigJohn]

I know of some people who have left the USA to live overseas just to get away from creditors. Even when they come back to the USA it takes a while for creditors to locate them once they are here. As far as coming thru Immigration there should be no problem. If all you have is a green card, the government is interested mostly in criminal activity. So you are okay.

[Flamingo]

I know of some people who have left the USA to live overseas just to get away from creditors. Even when they come back to the USA it takes a while for creditors to locate them once they are here. As far as coming thru Immigration there should be no problem. If all you have is a green card, the government is interested mostly in criminal activity. So you are okay.

I am assuming the OP has an SS#. Once work is started again in the US or in a US owned company overseas, the IRS is alerted, credit reports get updated with that information and pulled by creditors and wage garnishment, etc. and reality hit. All it takes is a computer. Again, the old phrase runs true in all matters - "You can run but you can't hide."

[glebus]

I am assuming the OP has an SS#. Once work is started again in the US or in a US owned company overseas, the IRS is alerted, credit reports get updated with that information and pulled by creditors and wage garnishment, etc. and reality hit. All it takes is a computer. Again, the old phrase runs true in all matters - "You can run but you can't hide."

I do have SSN. Can they garnish my wages to cover unsecured debt, or only federal student loan? By the way, if I do try to repay, is credit counseling helpful? Thanks.

[EmmaT]

Actually, if you are not yet naturalized, you will have problems coming back to the US on your green card, since you are not allowed to be absent from here for more than 6 months. I would think that based on the fact that you took cash from credit cards before you left, and you do not own any property here in the US, you would be charged with fraud. If convicted, you would also be deported.