Expert: Terry Leeders - 6/3/2009

Question
I am considering filing Bankruptcy. My question is I recently recieved(month ago) an offer from my Credit card company to transfer high interest balances to my credit card. I had a private student loan with a company that had an extremely high interest rate so I transfered the amount ($9000) to the card. I had no intention of filing bk when I did this transaction. Now I am on short hours at work and my husband is not longer in the home. I know I can't pay the bills more than 2 more months. I bankruptcy an option? How will this transaction affect me filing in about 3 months?

Answer
Creditor's can object for recent usage right before a case (90 days) they can also object for significant usage outside the timeframe, if they feel you were insolvent when you did it.  To avoid or limit the likelihood of objections, you should wait about 6mo or more to file the case, and make the minimum payments on that account.