CC's with 0 balance?

[lsmartin]

Should I include credit cards with $0.00 balnce on My Chap.13 ?

[EricaCallaha]

How long have they been at 0?

[justbroke]

Should I include credit cards with $0.00 balnce on My Chap.13 ?

You have no choice in this matter. When you file Bankruptcy, you must "include" all creditors on your Schedules (period).

There is no "I want to keep this one" when it comes to Bankruptcy.

Also, unless you're in a 100% payback Plan, the Trustee won't let you keep any of them. (In order to keep any of them anyhow, you'd have to reach an agreement with the creditor, which is not that easy... even with a $0 balance).

Also, if you paid off these balances recently and are filing, you could be in trouble if you did this real recently and it's over a certain amount. This is called the preferential payment. However, you don't really get in trouble. What happens is that the Trustee will go after the payee to recover the funds.

Of course, all that I wrote depends on many factors, and we don't know your whole story.

Also adding that some have interpreted the word "creditor" to mean someone who you owe money. There are lawyers that will file only if there's a positive balance. There are lawyers that will file any creditor, zero balance or not. This is based on the interpretation of 11 USC 101, where the definitions appear in the Bankruptcy Code. Basically, to be a creditor, you must have a "claim". Does a zero-balance creditor have a claim?

[StartingOver08]

The zero balance cards, assuming they have been zero for quite a while, will usually get closed in the BK anyway.

You might want to consider closing the accounts prior to filing. You still have to provide the information, but then your credit report will read "Closed by Consumer" and that particular tradeline will not be iib (included in bankruptcy). It might help when you go to re establish your credit when you are discharged. Just a thought.

[fltoo]

I had several credit cards with no balance for over a year and my lawyer did not want to include them, although they were canceled by the company when I filed.

[lsmartin]

Thank You al for your informative answers !