Bankruptcy is the filing of a petition that claims your assets, and your inability to pay for them. Bankruptcy severely effects your credit, and is present on your credit for 7 years. During this time getting credit cards or loans can be very difficult.
The judge may disallow those debts from the bankruptcy because you are obviously attempting to defraud the credit card company.
You need to notify the Credit company, once you've done that you may suspend payments.
No. If you are seriously considering filing for bankruptcy, then you should not use nor pay on your unsecured credit cards. This is due to the fact that you are going to be eliminating those debts. You will need that money to pay your court costs and attorney's fees when filing for bankruptcy.
"Whether a debtor keeps credit cards after filing bankruptcy is up to the credit card company. If you are discharging a credit card they will cancel the card unless you reaffirm the debt. Even if you have a zero balance the credit card company might cancel the card."
No, however once you have completed the 1 year term of bankruptcy you can then apply for a pre-paid credit card to begin rebuilding your credit.
Once your bankruptcy has been dismissed, you can apply for and receive new credit. It is not recommended but many people do get new credit cards after filing. Usually a company included in a bankruptcy will not extend credit to you again.
Bad credit is not the only disadvantage to filing for bankruptcy. The most obvious disadvantage of filing for bankruptcy is that it will ruin your credit for at least 7-10 years. Some other disadvantages include:* Losing credit cards* Losing non-essential possessions* Inability to obtain a mortgage for some time* Embarrassment* Not all debt will be discharged
No. The only thing that it will wipe out as far as debt is credit cards and bills, not mortgages or school loans. Any government loan is not taken care of by filing bankruptcy.
To get credit cards after bankruptcy you can apply to credit companies that you haven't had previous experience with or go with your old company and get a card with a lower limit on it.