October 10th, 2008 by Reed Allmand 
In a Chapter 7 bankruptcy most credit card debt will be forgiven; but there are occasions when a judge will require a debtor to repay the lender, yes even in Chapter 7 bankruptcy. The most common way a lender is able to force a debtor filing for Chapter 7 bankruptcy to repay credit card charges is if the debtor committed fraud. In other words, if you charge up a credit card without having some intention of eventually repaying it, that is considered fraud. If the creditor accuses the debtor filing for Chapter 7 bankruptcy of fraud, a judge will examine the case for signs of fraud. The most common sign of fraud found in a Chapter 7 bankruptcy case is incurring credit card charges after first consulting with a Chapter 7 bankruptcy lawyer. Even worst than that, paying for the Chapter 7 bankruptcy fees and expenses with your credit card. But we all know better than that. Right? But even if your credit card purchases were made months before filing Chapter 7 bankruptcy you could still be found guilty of fraud. For example, if you bought furniture 8 months before filing Chapter 7 bankruptcy and never made any attempt to make a payment you could be found guilty of fraud by the bankruptcy judge.
To avoid having your Chapter 7 bankruptcy complicated or even denied due to fraud, it’s best to avoid any use of your credit card once you begin considering Chapter 7 bankruptcy.
About Reed Allmand
Allmand's vision is rooted in his own financially precarious childhood in Abilene "My father always had difficulty holding a job and supporting our family, so after my parents divorced when I was 12, my sister and I got jobs to help make ends meet," he recalls. "I remember what it felt like as a child to worry that our car would be repossessed or home foreclosed on."
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