Legal Question in Bankruptcy in Vermont

Charges made prior to filing.

In August of 2001 I switched from an American Express Gold to a Platinum card--no change in credit limit but the account number change & the balance from the gold card was transferred to the Platinum card. I charged approximately $3,000.00 by the end of September but nothing since. None of the charges were over $1000.00. If I file by 12/01/01 will there be a problem?


Asked on 11/13/01, 2:26 pm

1 Answer from Attorneys
Daniel Press Chung & Press, P.C.

Re: Charges made prior to filing.

There very well could be a problem if the creditor can show that the charges are fraudulent, which is presumed if you file within 60 days of incurring the debt. Outside that time they have to prove fraud. You may want to consider waiting a bit longer, making efforts at payment, or filing Chapter 13 (which has a "superdischarge" that allows discharge of otherwise non-dischargeable debts after completion of a plan to pay in part over time). See an experienced bankruptcy lawyer for advice specific to your situation.

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Answered on 11/13/01, 3:45 pm


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