Bankruptcy Attorney Denver » Bankruptcy and Credit Rating in Denver

I’m Filing Bankruptcy, Can I Keep My Credit Card?

jesse — Tue, 23 Jun 2009 14:07:01 +0000

Credit cards with a balance have to be included in the bankruptcy. Bankruptcy petitions are filed under penalty of perjury so the information must be accurate to the best of your knowledge. If there is no balance on your credit card it does not need to be included in your bankruptcy, and the credit card company will not receive notice that you have filed for bankruptcy. However, bankruptcy is a matter of public record, so even if the credit card company does not receive notice from the bankruptcy court they may come by the information and cancel your credit card to be safe. In some instances and with certain credit card companies you will have the option of reaffirming the debt that you have with the credit card company in order to keep your credit card. A reaffirmation is when you agree to pay back a debt that could have been discharged through the bankruptcy. Reaffirming a debt is a serious decision as you will once again be responsible for the debt owed.

Divorce and Bankruptcy #2 (Effects)

jesse — Tue, 16 Jun 2009 14:22:40 +0000

When one or both spouses files a bankruptcy, all the community property, (property that was bought or acquired during the course of the marriage) becomes a part of the bankruptcy estate and is available to pay debts if it is not exempt. The bankruptcy estate is defined as the property that you own at the time the bankruptcy is filed.

When you or your spouse files a bankruptcy, the automatic stay prevents creditors from collecting on most debts. However, the automatic stay doesn’t prevent you from asking a divorce court to order your spouse to pay child support or alimony.

Divorce and Bankruptcy #1

jesse — Mon, 15 Jun 2009 14:22:14 +0000

When people find themselves in divorce here in Denver or elsewhere in Colorado, oftentimes the amount of income coming into the household is greatly reduced. This coupled with family law related legal bills, loss of work, and increased expenses lead to more reliance on credit cards and cash advances. This can quickly spiral out of control and lead to a crushing debt level. As the average divorce costs $10,000.00 in legal expenses, this can often consume not only any spare income, but also can quickly bleed dry any money that has been saved up for a rainy day.

If you think you’re headed for divorce and have a lot of co-mingled debt, it may make sense to file for bankruptcy before you start your divorce proceeding. By filing bankruptcy first, you can simplify the divorce proceeding by clearing out some of your debt, making it easier to negotiate how the remaining debts should be divided, and protect you from an unexpected divorce from an ex years later that affect your personally.

It is possible that you and your spouse might want to consider filing a joint bankruptcy before the divorce. This may make the final division of any remaining debts even easier, and filing a joint bankruptcy is cheaper than filing two separate ones. However, it cannot be over emphasized that this may cause a conflict of interest that would necessitate separate representation. It depends on the relationship between you at the time, and whether it can be done without one side trying to take advantage of the other.

Questions — Ask an Attorney!

jesse — Sat, 30 May 2009 16:27:27 +0000

Bankruptcy is a confusing time in someone’s life. Not only are there the emotional issues of feeling like a failure, there is the legal issues that have to be addressed. This is not something that should be done alone. We are here to help, but there are other good lawyers in Denver too. You just need to find someone you feel comfortable working with beccause your financial future is at stake. We take this responsibility seriously and want you to feel like you are walking into a friends office. Maybe at times this friend will need to give you a kick in the butt, however, our ultimate goal is to help you be free of the worries and headaches that brought you to this site in the first place. Please call our office for a no obligation free consultation.