Considering filing Chp 13 (NFCU related)

[Anonymous]

I went to a bankruptcy attorney who informed me Chp 13 would be my option for bankruptcy given the amount I make.

My question is I just opened my NFCU account this summer....I have a checking, saving and one credit card with them.

If I wish to keep my relationship with them, do I need to pay my card in full prior to filing for bankruptcy? I really have enjoyed their services and got in through the Navy League option and don't want to lose that valuable relationship.

[darwin_wins]

Of course my knowledge about BK is limited to 0 but from what I have read if you burn NFCU, they won't let you back in.

Not sure how BK works in terms of trying to pay off one creditor and not others. Good luck

[krielly]

What is your current balance on the credit card? unless it is a pretty small amount, paying this off before you file your BK13 will be viewed as a preferential payment by the trustee. The trustee CAN go back to NFCU (in this case) and get your payment back from them to distribute equally amongst all of your creditors.

[Anonymous]

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@krielly wrote:

What is your current balance on the credit card? unless it is a pretty small amount, paying this off before you file your BK13 will be viewed as a preferential payment by the trustee. The trustee CAN go back to NFCU (in this case) and get your payment back from them to distribute equally amongst all of your creditors.

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My balance is $2800 and I probably won't file for another month (if I do go that route).

[krielly]

that would definitely been viewed as a preferential payment. Sorry

[Anonymous]

.

Going off of my memory, if payments are within the last 3 months, or total more than $600,

It will be disallowed.

Only possible outcome is to "pay it off" after your Ch 13 is officially Discharged.

STRONGLY advise you speak with your ATTORNEY before you take any action on your own.

Best Wishes.

.

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@Anonymous wrote:

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@krielly wrote:

What is your current balance on the credit card? unless it is a pretty small amount, paying this off before you file your BK13 will be viewed as a preferential payment by the trustee. The trustee CAN go back to NFCU (in this case) and get your payment back from them to distribute equally amongst all of your creditors.

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My balance is $2800 and I probably won't file for another month (if I do go that route).

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