old checks and new credit cards

February 5th, 2008 by Questions

hello, i have two questions to ask. first a little about me, i am unemployed at this time and my babiesfather is supporting me and his children. (we are not married). i was wondering how i should apply his income to my bankruptcy case? he buys everything we need like food and toiletries. do i list no income and tell the trustee that he pays for all or should it be listed as `other income`, even though he never hands any cash directly to me? also i have a bounced check from three years ago. i tried at the time to make a payment to them but they denied payment, should i pay them off first and then file bankruptcy? i also got two new credit cards in the last two months, and after a job fell through on me i relied onmy childrens father to pay the bill. both cards are only 500 dollars, i want to know if he can pay them off in full for me before i file or should i file and reaffirm these cards as i do want to keep them and do intend on paying them? or would this be `prefernecing?` i really need help on what to do as i am lost?
i want to do everything right so its important to know before i file.
thanks,
sue

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One Response to “old checks and new credit cards”



, Barton Goth GCO Bankruptcy Trustees said:

Firstly, any income that comes in your name (i.e. maternity benefits, child tax beenefit, GST cheques etc.) should be listed under your income, any income coming from your boyfriend would fall into the “other members of household” category.

As for the bounced cheque and the credit cards, don’t make any payments on them before you file. The bounced cheque likely won’t have a major impact, but for the credit you recentily obtained you will likely have to pay these back as part of the bankruptcy, but the payment goes to the trustee not to the credit cards directly so that you won’t have an issue with preference.

Right now the best thing is to sit down with a local trustee, explain these things in detail and they will be able to help you set things up appropriately.

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