Miramonte, CA Bankruptcy Law Firms & Lawyers

The latter is correct. The credit card companies can review your payment history and often do so for the last year or so prior to your bankruptcy petition to check for anomalies in your spending habit. For example, if you buy a $10,000 Sea Doo with one of your credit cards and soon thereafter stop making payments the way you usually made them prior to that point and then file for bankruptcy protection, the creditor may argue that you incurred the debt under false pretenses because you always intended to discharge them. I have seen American Express and Chase do this in 2 out of 300 cases. In the overwhelming majority of cases, however, the creditors do not bother the debtors. Nevertheless, you should not alter your spending habits unless it is for necessaries of life. To assess your specific situation, however, you should come and see us. Make an appointment for a free initial consultation.

You would need to see a bankruptcy attorney in Texas if you live there. In Michigan, you cannot discharge student loans in bankruptcy, you can only repay them through a Chapter 13 bill repayment plan. $285 a month is about right for a repayment plan, will be difficult to do better than that.