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Cash Advances

Submitted by on Sun, 07/04/2010 - 11:36
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I'm in New York State and I'm filing for chapter 7 in 6 months. I have some credit card debt that is gambling related via cash advances. It's around $1,100 spread out over 3 cards. One card was for $500.00 and the other two were for $300.00 a piece. Actually $900.00 I used to gamble and the other $200.00 I used to get a gift card for someone I know who like the casino I go to. I made payments on the cards for about 4 months after the advances. Do you think these advances will cause me problems in my bankruptcy?


The credit card debt will all be considered the same. The only issue you would have is if the amounts are over a set limit within 70 days of filing, i believe it is, and it was for "luxuries". The gambling debt would be in that category. However, if you do not file for six months, then the time limit would be up. However, if you have spoken with an attorney, the bank could make a claim against the debt, if you spoke with the attorney in that same period of time. However, my attorney told me that he has not had that happen in over 25 years of practicing bk law.


Submitted by southernapostolic on Tue, 07/06/2010 - 18:51

southernapostolic

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Unlikely that these amounts will present an issue in the case. If they were larger amounts then possibly they may present issues. If you did not make any payments on them and you clearly had no ability to pay them at the time then it may have presented a problem. There are certain things that are presumed nondischargeable in bankruptcy and this would be if you had cash advances of more than $750 within 70 days of filing. Its sounds like you are past this area. Here are a list of some other nondischargeable debts
Nondischargeable Debts in Bankruptcy


Submitted by on Thu, 07/15/2010 - 19:34

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