You will lose all your cards in BK. None can be excluded. Even if they werent included. They'll know. It is advised here on the forum to switch banks especially with a bank thats going to be burned for their CC. Sorry you have to go thru this but tha'st the way BK works. Many on here have had to make the dreaded decision to file. But down the road. Things will come back. The biggies will ban you for years. Disco is forgiving after a year or more. And yes its time to find another bank just to be safe. I hope it all goes smooth for you. Its a tough choice. But life throws hard balls at us. And as they say. The strong survive. It will work out down the road. Good luck in whatever you chose.
@mysterythemoon wrote:I've dug myself into a pretty big hole and will almost certainly have to burn some of the biggies (Amex and Chase). However, I only owe $600 to Disco and $800 to WF (where I also have my checking account). Can/should I exclude them from the BK? My thinking is that both aren't for a lot of money at all, I'll want to have a relationship with some CC company down the line (Disco) and as for WF, I don't want them to close my bank account. Any help is appreciated.
You can not exclude anyone from BK.
How big of a hole?
Most banks will settle for 20% - 60% of balances.
You can pay off Disco and WF before filing for BK just make sure it is a few months after pay off.
NEVER leave your money in checking account if you owe that bank anything for any reason and file for BK.
BK works but it is not the only option in many cases.
Want to share some data?
If you paid 3400 dollars to pay off Disco and WF. You'd have to wait 90 days + before filing. Its called prefferential treatment anything over $600 dollars.If you make payments of over $600 in aggregate to a creditor in the 90-day period prior to your filing date while you are insolvent (meaning your debts exceed your assets) and that payment allows the creditor to receive more than it would otherwise have through your bankruptcy, it is a preferential debt payment. Also, keep in mind that bankruptcy law presumes you are insolvent during the 90-day period prior to bankruptcy. As a result, the trustee does not have to prove insolvency in most cases.
@Shooting-For-800 wrote:
@mysterythemoon wrote:I've dug myself into a pretty big hole and will almost certainly have to burn some of the biggies (Amex and Chase). However, I only owe $600 to Disco and $800 to WF (where I also have my checking account). Can/should I exclude them from the BK? My thinking is that both aren't for a lot of money at all, I'll want to have a relationship with some CC company down the line (Disco) and as for WF, I don't want them to close my bank account. Any help is appreciated.
You can not exclude anyone from BK.
How big of a hole?
Most banks will settle for 20% - 60% of balances.
You can pay off Disco and WF before filing for BK just make sure it is a few months after pay off.
NEVER leave your money in checking account if you owe that bank anything for any reason and file for BK.
BK works but it is not the only option in many cases.
Want to share some data?
OP had $61,200 bottom of their post.
