I am the sole member of a LLC. I use my business credit card for business travel and expenses. If I file bankruptcy, I'll list the credit card since I personally guaranteed it. However I have used the card recently, and I've charged more than $3,000 in the last month (again, for business travel and expenses.) I realize that the LLC will still be responsible for the debt, regardless of what happens with my personal bankruptcy, however I'm trying to avoid an adversary proceeding. My question is, in order to get the debt discharged against me personally, will I have to wait 90 days from the last charge before I file? Or will I have to wait six months due to the large amount of charges? Of does it not matter, since the LLC will continue to make payments and continue to be responsible for the debt?
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STOP USING THE CREDIT CARD.
Most likely, your LLC and your credit card will not survive. You're going to need to get in 90 days. And once again.........
STOP USING THE CREDIT CARD.All information contained in this post is for informational and amusement purposes only.
Bankruptcy is a process, not an event....... -
Thank you frogger for your advice. It sounds like you are saying that a 90 day window between the last business charge and the day I file is all I need. I've read many posts about the LLC not surviving. This is opposite of what my attorney told me. According to several bk attorneys in my area, as long as the liabilities of the LLC exceed the assets, the trustee will abandon the LLC. In order for a trustee to keep any of the money from selling the LLC assets, he or she must first pay off all of the creditors of the LLC. It doesn't make financial sense for the trustee to go down this route if the liabilities meet or exceed the value of the assets. Does anyone have any thoughts on this?Comment
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Magua2:
3K is not a paltry sum. Are you saying your card owes more than your business is worth? As Frogger said, stop using that card. May I add like two years ago stop using it. 90 days is not a magic number and the Trustee could go back some much longer time. In my opinion, and I don't mean to rain on your parade, but you are prime for an AP. I hope you don't get one as an AP can survive your bk even if your bk is dismissed. It could cause you a Judgment that could never be discharged in any bk of the future. I would do some real conversing with your lawyer. If it looks as if your Trustee can take you LLC, I would suggest sell what you could under the LLC and pay that card off with LLC funds (keep it separate of your name so it does not become preferential). Then go forth to seek your new start. Attempting to keep the LLC and naming that card in your personal bk could look mighty suspicious and you can't have your cake and eat it too. It would "appear" to look like working the system. I know you are not but they don't. 'HubIf I knew it all, would I be here?? Hang in there = Retained attorney 8-06, Filed 12-28-07, Discharge 8-13-08, Finally CLOSED 11-3-09, 3-31-10 AP Dismissed, Informed by incompetent lawyer of CLOSED status, October 14, 2010.Comment
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I think the best thing to do would get financial advice from specialised financial advisors, there are many debt consolidation and bankruptcy websites that are willing to offer free debt advice.Link Removed By ModeratorComment
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Damn spammers............Originally posted by Abbie64 View PostAll information contained in this post is for informational and amusement purposes only.
Bankruptcy is a process, not an event.......Comment
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same person that was posting the same inane comments a few months ago. Don't people have better things to do with their time?!Originally posted by frogger View PostFiled Ch 7 Pro Se 11-18-2010
341 Meeting 12-16-2010 Discharged 2-15-2011
New Job 7-2011
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