Legal Question in Bankruptcy in New York

open end credit plan

Surviving parent has used his own credit cards, and also cards that were in deceased spouses name ( he was authorized user on them). 94 yr old Parent is living on small ss payments, home valued at abt $50K, continues to use credit card cash advances to pay other credit cards. He Has let grandchildren and others use cards (they repay him).

1. Am I correct in thinking ch 7 bankruptcy would be possible but probably not in his best interest for 9 months or so (from date of last cash advance) Could the creditor still do an adversaial proceeding to stop the discharge?

2. His total income lost about $900 per month when his spouse dies. So his ability to repay was diminished, but has kept all cc payments current. Can the creditor claim fraud?


Asked on 2/10/07, 11:56 am

1 Answer from Attorneys
Stephen Starr Starr & Starr, PLLC

Re: open end credit plan

Not clear from your post if this is your father or if you are a 3d party (i.e., atty or non-atty engaged in authorized practice of law) trying to advise the "parent" (if your father I assume you would identify him as such).

In any event, bankruptcy is not a suitable area for a "do it yourself project". Particularly after the 2005 amendments to the Bankruptcy Code it requires the services of an experienced and competent bankruptcy attorney.

Your father needs to consult with a competent bankruptcy attorney. The practice of our firm is to provide a free inital consultation to discuss options.

You can check out the Frequently Asked Questions (FAQs) on our website for general bankruptcy info at:

http://www.starrandstarr.com/faqs.htm

Feel free to contact me to schedule a fee initial consultation at [email protected] or by calling 8888678165.

Best regards,

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Answered on 2/10/07, 12:20 pm


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