One Simple Secret to Avoiding Financial Problems After Bankruptcy

As a bankruptcy lawyer, I have seen clients who have massive credit card debt. Many debtors who file for bankruptcy have maxed out credit cards. Not one, not two, sometimes as many as 10 credit cards.

Let’s be realistic, if you want to avoid financial problems after bankruptcy, limit the number of credit cards that you use. Have one or two and certainly not credit cards from the companies that you listed on yourFinancial Problems After Bankruptcy bankruptcy petition.  Why? Buried in a credit card application is probably a clause that says that you agree to repay all the credit card debt that was just forgiven in bankruptcy. Beware of credit card traps after bankruptcy.

When you can, pay cash, pay off your credit card bill every month. And, quite frankly, if you can’t do that after three months, cut up the credit card.

Harsh love? You bet. Do you fear filing bankruptcy? Give us a call to discuss your options about bankruptcy, and see if it is the best fit for your financial situation.

 

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