Expert: Terry Leeders - 1/3/2008

Question
I had to take an advance on a line of credit of $1600.00.  I haven't started any bankruptcy, but my mother in law says we should consider it.  My husband is in Iraq and I got laid off and can't make meets end.  I don't know what to do.  Do I need to way if I decide to do it?

Answer
Creditors have the right to object to recent usage within 60 days of a chapter 7 bankruptcy.  I would suggest making payments on this debt for at least 90 days just to prevent any red flags from jumping up if you file a case.  You should meet with an attorney to help advise you on what to do and what not to do while you prepare for bankruptcy. Most attorneys offer free bankruptcy consults.