Credit card advances prior to consumer proposal
May 16th, 2007 by Questions
I would like to make a consumer proposal to my creditors. I left my job about six months ago to attend college. I made many cash advances from my credit cards during this time, expecting my husband to help me pay back my debt.
Now we are separating. I have started looking for a job, and I won\’t take any more advances from my cards, but I ran up a lot of debt in the past few months in living expenses. (I previously owed 30k before quitting my job 6 months ago, and now I owe 45k.)
Will this look like fraud to my trustee, my creditors and the courts? I intended to pay these debts, but now I can\’t due to the separation.
Will the separation be a satisfactory reason for making the proposal, even with the recent large advances?
Does the fact that this is a consumer proposal instead of a bankruptcy help anything? I would like to pay back at least $20k of my debt, well in excess of the recent $15k in advances.