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Personal Bankruptcy !

A year ago my spouse used fake job letters inflating his income to secure personal lines of credit from various banks. He has a good credit history and have been making regular payments since then. But now we lost lots of money in risky business ventures. Therefore, he is thinking of declaring bankruptcy soon. I am worried that during the bankruptcy proceedings the creditors (banks) might take him to account for securing personal lines of credit using false/misleading job information. Is there a possibility that he might be convicted for this offence ?

One Response to “Personal Bankruptcy !”

A licensed trustee said...

Assuming the line of credit is not secured against something you own, it will be included in a bankruptcy filing.

Something to keep in mind: you can’t pick and choose which debts are included in a bankruptcy. If you file all of your debts must be listed and the bankrutpcy will deal with all of your unsecured debts.