Legal Question in Bankruptcy in Maryland

Re: Requirements for Filing Bankruptcy

1) Does my mnthly pymts need to exceed my mnthly income to file? In order to qualify for a Chapter 7 (where you do not pay anything back to your creditors) your income cannot exceed your monthly expenses by very much. In order to qualify for a Chapter 13, your income must exceed your monthly expenses. Please remember that your "expenses" will not include the debt that you will be discharging, i.e. your credit card payments and the co-signed car loan.

2) Will current (never late) cc be discharged, after I close them of course? Yes, assuming you qualify for a discharge.

3) How long does their have to be inactivity on the cc before filing? The answer to this question depends on what type of activity you are talking about. If you have had significant charges, cash advances or balance transfers within the past ninety days, even going back as far as a year, you should wait. The amount of time you should wait varies. If you have been using your credit cards for living expenses, such as food and clothing, then depending on how many transactions and how much you spent, it is possible you might not have to wait.

If you need any further information, please feel free to give me a call.

Carolyn G. Krohn

www.annapolisbankruptcy.com