Legal Question in Bankruptcy in California

Chapter-7 Bankruptcy question: I have been unemployed for about two years now, and have used up all my savings and had to use credit cards to pay rent and keep from going homeless, while I keep looking for work. My credit rating, right now is excellent, which I want to keep while I look for work because some employers check your credit report during the hiring process. My question is: Should I file for chapter-7 now, knowing I can't possibly make the payments anymore, or wait a few months, missing payments, while a few good job prospects are pending? I would absolutely pay the credit cards entirely if I had a job!


Asked on 9/24/12, 3:53 pm

1 Answer from Attorneys
Christine Wilton Law Office of Christine A. Wilton

It sounds like you realize that your credit score is impacted by late payments and that you want to keep your credit score up during prospective employment screening. The problem is that prolonged unemployment has not helped your situation and you could have filed bankruptcy 2 years ago and saved all that money you paid to your creditors. You can file bankruptcy any time you're ready to. It looks like you need reassurance that you'll still get the job if you file for bankruptcy now and no lawyer can answer that question for you. If you wait a few months and miss payments, that is likely to have a greater impact on your credit score than if you simply file for bankruptcy. I totally get it that you would pay your creditors if you have the means to. I wish you much success in your job search.

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Answered on 9/24/12, 4:02 pm


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