I will be filing Ch7 soon.... A month ago, when I was starting the 'rebuilding' process (before a suit basically forced me into the 7), I ordered a secured "Total" Visa from Plains Commerce Bank. Paid the initial activation fee, and rec'd my card and the cardholder agreement, which also told me (after fees) that the balance on my card is $19. I have not paid a cent on this yet (just rec'd card and agreement 3 days ago). My question- a quote from the "default" section of the cardholder agreement states that the company may declare the account to be in default if I become bankrupt (among other reasons, of course). Better to call and cancel this card now? No need to include in Bankruptcy, haven't paid on anything, rec'd a statement, etc........I just wonder if it would look better to cancel it now and dispute its existence later. Haven't stumbled much on this subject here on the boards, or wouldn't have posted. Thanks
i think that by saying the account is in default that they will raise your interest to the "defaulted interest" which could be 24% or so. also you will lose any introductory rates or specials i guess. thinking your way though, there is a chance they could close your account when they find out you declaired bk just to be cautious. so research on if they close accounts even if not included in the bk.
I think it's a catch 22. We had a Zales card with a 0 balance for over a year never used, prior to our filing bk7 , I used it after we were discharged (3 months later) to show payment history,never had a late, paid ahead and/or more than minimum, after I finished paying this off, 2 cr's are reporting IIB and one shows paid as agreed, account in good standing, so I am going directly to OC to have this corrected. My interest rate wasn't changed, but they did close the account, they are finanaced by Citigroup. HOwever, the fact is, it was never IIB and this will be pursued......... On the other hand, we still had a JCP 0 balance and a Chevron prior to bk, and they have been most accomodating without any changes, we are post bk7 over a year now.......
Just pay to a zero balance and don't include. If they cancel, you're in the same place. If they don't cancel, you've got a card to rebuild with.
