Creditor fraud by using credit B4 claiming bankruptcy
After researching your blog I noticed there is a lot of uncertainty as with creditors making a fraud charge to people who file bankruptcy that have used their credit card for whatever reason wether it be a month, 2 3 months or a year or more before they claimed bankruptcy. I noticed a post where someone said after they were discharged, the creditor sued for all monies owing plus interest. Why go threw all the hassles of bankrupcty, then have to pay it again after a discharge? How could one think they are getting a fresh start, then when after they complete their duies, they end up going to court to be sued for monies they owed that they needed relief from to begin with. I know this is a grey area, but it seems to me if I filed a proposal or bankruptcy this idea of being sued afterwards would put me into as much stress as my terrible financial situation is now.
Unfortunately there is a bit of grey area, especially as we are discussing generalities. The best thing for you to do is to contact a licensed trustee in your area and discuss the specific transactions with them. They will then be in a much better position to advise you as to the likelihood of this taking place. However, based on my experience I can say this, fraud applications are relatively rare and most commonly happen in situations where someone made a conscious choice to run up the balances on their credit cards prior to filing for bankruptcy. If a clear change in the pattern of use for those cards (i.e. greatly increased usage of credit cards in the initial 3 months of bankruptcy), or most of the transactions have been cash advances, there is a much greater likelihood that this type of application may be made.