Re: joint credit card and BK

Posted by LadynRed (199.91.33.254) on October 09, 2002 at 10:12:43:

In Reply to: joint credit card and BK posted by anon on October 08, 2002 at 20:22:24:

If you file BK and include that joint account, as you must, then the sole burden for the account will fall to your husband, and it could show on his CR as 'included in bankruptcy'.

If you stop paying, the only way you're going to settle with an OC is when the account gets near charge-off status, about 120-180 days on non-payment, only then do the start making 'settlement' noises and are open to that possibility. Just beware, unless you get something IN WRITING that they will issue you a 1099-C and the settlement pays the account IN FULL, they can and will sell the remaining balance to a collection agency. Also be aware, that if you do settle and get a 1099-C (cancellation of debt income), you WILL have to pay taxes on any amount over $600, so you'd be paying taxes on approx $7400 of 'income'.

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