Can I keep This Card

up_the_creek_5

Hello

As i have posted previously i am carrying around 83K in un-secured debt over 10 credit cards & 4 loans. All my repayments are currenly up-to-date (for now).

I have contacted my trade union debt helpline & they are ringing me back next week to get the ball rolling.

I have told no-one else about my predicment except for my brother. He has offered to make the minimum repayment on one of my credit cards (Capital One). This card only has a few hundred outstanding on it & a small limit of £1000. Believe me this is peanuts to what i owe on the others. He has said i can pay him back when all this is over, how ever long it takes.

This would be handy as could still make the odd purchase (mainly internet) where purchase & fraud protection are reqd. He is alright about this as long as i pay any purchases off straight away. I have looked at the Cashplus card but this does not seem to have anykind of protection against fraud etc.

If i were to keep this card, should i still declare it to my debt advisor & would my other creditors or court (if it gets that far) be able to find out.

Thanks

BertieMeldrew

£83k in debt and you haven't cut up your cards yet...

Eager_Elephant

I am sure you should not be keeping this card - it wil be preferential treatment and creditors do not take kindly to this.

I am sure it is not illegal so I can't think you would be prosecuted.
There is a good chance that your other creditors will find out as this account will be on your credit record with a £0 balance having been updated recently and they will get suspicious.

Looking at your previous posts you indicated that it is possible that you may only have £100pm to offer creditors - well on £83,000 of debt that is a heck of a long time to pay back unless your income is going to increase significantly.

If you decide to go bankrupt and the Official Receiver finds out that you have given preferential treatment he can reverse the transaction. Any fraud that takes place or is discovered means that you are also liable to be prosecuted for fraud which is a serious offence, I have heard of this happening a few times and the prison sentence is not small.

Be careful what you do and don't rush into anything.

EE

jessicamb

If going bankrupt if an option of any sort then I would strongly advise not to pay off the credit card - you would lose it with the bankruptcy anyway.