You may be filing personal bankruptcy and hope to be able to keep one or two of your credit cards that have a low or zero balance. You are required by the Bankruptcy Code to list all of your debts, including all credit cards with debt. The bankruptcy trustee will ask whether you have listed all debts and your answer must be given under oath. Thus if you leave out any of your debts, no matter how low, you will be committing perjury.

Most credit card companies and other creditors have a clause in the credit agreement that authorizes them to access your credit at any time. When the creditors pull your credit record they will discover you have filed bankruptcy and in most instances will close your account, regardless of whether or not you have listed them on your bankruptcy. And remember if you do not list them you will not be able to discharge the debt.

It is not mandatory to list a card with a zero balance on your bankruptcy petition. Some creditors will allow you to keep their card if it does not have a balance. However, it is not necessarily wise to pay off a credit card immediately before filing bankruptcy in the hopes of being able to keep it. You may well use funds needed elsewhere and the card may end up being canceled by the credit card company anyway when they discover you have filed bankruptcy.

If you live in Denver, Aurora, Arvada, Brighton, Broomfield, Commerce City, Englewood, Highlands Ranch, Lakewood, Lafayette, Littleton, Northglenn, Westminster, Wheat Ridge, or Golden, Colorado, and have any questions please feel free to contact me. Kevin D. Heupel, Colorado Bankruptcy lawyer, 303-955-7570,              Colorado Bankruptcy Help Email, personal bankruptcy free-consultation form.