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  1. #1
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    Dec 2014
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    Default What Debts Are Discharged in Bankruptcy and Can You Save Your House

    My question involves bankruptcy in the state of: California.

    I have two credit cards that unfortunately are maxed out and I can't afford to make the minimum payment each month. The question is I'm up to date on my house and my car will I be able to save them. Also I have 3 other credit cards I don't owe anything on will I be able to keep those credit cards? Thank you for your time

  2. #2
    Join Date
    Oct 2006
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    Default Re: What Debts Are Discharged in Bankruptcy and Can You Save Your House

    Quote Quoting concerned1234
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    My question involves bankruptcy in the state of: California.

    I have two credit cards that unfortunately are maxed out and I can't afford to make the minimum payment each month. The question is I'm up to date on my house and my car will I be able to save them. Also I have 3 other credit cards I don't owe anything on will I be able to keep those credit cards? Thank you for your time
    A house and car can be reaffirmed in a bankruptcy as long as you are not over the asset limit for your state in terms of equity in either. The credit card companies will likely cancel any credit cards you have, even if you have no balance on them.

  3. #3
    Join Date
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    Somewhere near Canada
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    Default Re: What Debts Are Discharged in Bankruptcy and Can You Save Your House

    Quote Quoting concerned1234
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    My question involves bankruptcy in the state of: California.

    I have two credit cards that unfortunately are maxed out and I can't afford to make the minimum payment each month. The question is I'm up to date on my house and my car will I be able to save them. Also I have 3 other credit cards I don't owe anything on will I be able to keep those credit cards? Thank you for your time
    You can't afford to pay the cards which have a balance ... why would you want to keep zero balance cards? Please don't say "for emergency purposes". Just don't.

  4. #4
    Join Date
    Jan 2006
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    Default Re: What Debts Are Discharged in Bankruptcy and Can You Save Your House

    Quote Quoting Dogmatique
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    You can't afford to pay the cards which have a balance ... why would you want to keep zero balance cards? Please don't say "for emergency purposes". Just don't.
    Cuz there's room to charge stuff on them.

    Im not sure op understands that those credit cards were issued when he financially qualified for them. Filing BK, obviously, proves you don't really qualify for a credit card. Once op has shown himself unworthy the banks generally rescind their kindly offer of loaning op money at will.

  5. #5
    Join Date
    Sep 2005
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    Default Re: What Debts Are Discharged in Bankruptcy and Can You Save Your House

    Quote Quoting llworking
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    A house and car can be reaffirmed in a bankruptcy as long as you are not over the asset limit for your state in terms of equity in either.
    It is often unnecessary to reaffirm, as long as you keep making payments -- although that's a strategy best discussed with your bankruptcy lawyer. Most lenders won't repossess or foreclose if the money keeps coming in, even without formal reaffirmation.

  6. #6
    Join Date
    Oct 2006
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    Default Re: What Debts Are Discharged in Bankruptcy and Can You Save Your House

    Quote Quoting Mr. Knowitall
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    It is often unnecessary to reaffirm, as long as you keep making payments -- although that's a strategy best discussed with your bankruptcy lawyer. Most lenders won't repossess or foreclose if the money keeps coming in, even without formal reaffirmation.
    I agree that most lenders won't repossess or foreclose if the money keeps coming in, but it can and does cause some occasional complications if you do not reaffirm. Once example I know of is someone who filled out paperwork to reaffirm a car, but someone it never got to the lender.

    10 years later, they wanted to trade in the car on a new car, but could not find their title, so they applied for a replacement one. Even though the lender had released the original title to them years ago, the lender balked at signing a release for the replacement title, because their computer showed that the debt was discharged in bankruptcy and never reaffirmed. It was a mess that took 4 or 5 months to straighten out. It was all stupid bureaucratic red tape, but it was still an unnecessary complication.

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