We understand that the reason you are considering bankruptcy is most likely using your credit cards beyond your financial needs. Many times, debtors are forced to use their credit cards to pay for essential goods such as food or clothing because they do not have enough income to pay cash. When filing for bankruptcy, a judge may not look favorably at upon the excessive use of your cards, despite the fact that it was not a choice, but a necessity.
The bankruptcy code section 523 says that if you charged non-essential, or "luxury goods" in the amount of $500 or more to your credit card within 90 days prior to filing for bankruptcy, these charges are presumed non-dischargeable. Bottom line: It is good practice to delay filing for bankruptcy as long as possible following your last use of your cards.
If you see no other option than to use your credit cards for everyday life's expenses, then you know you are heading for bankruptcy and we can help! Contact us online
or call The Law Offices of Jacoby & Jacoby at 631-289-4600 to schedule a FREE consultation to discuss your individual situation and all of your options.