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Is optimistic exaggeration on a credit card application fraud and a problem during bankruptcy?

Albany, NY |

I have accumulated a lot of credit card debt on about 10 different cards, as well as medical bills--about $40G. This has led me to consider filing for bankruptcy.
Back when I had applied for two of the credit cards (1, 18 months ago, the other 6 months ago for a credit extension) I was unemployed but trying to start a business, part of what I wanted the money for, so I used the name of the unstarted business as my employer and estimated what I hoped my income would be.
Circumstances, health problems mostly, have prevented me from ever starting this business and led to these huge bills.
Would my representation be considered fraud since I never started company?
Would credit card company likely challenge the discharge of the debt in a bankruptcy ?
The two cards debt are about $10,000 each.

Attorney Answers 2

  1. Every time you post about this it gets worse. Unstarted business?? Estimated income you hoped to earn??? Law enforcement would call these material lies on a credit application used to mislead and induce the lender. Yes, you should be worried.

    The above answer, and any follow up comments or emails is for informational purposes only and not meant as legal advice.

  2. The answers to your prior post apply. Fraud is extremely difficult to prove and costly. But no attorney can guarantee that a creditor won't try. You should definitely not try to file bankruptcy without

    Legal disclaimer: Disclaimer: This answer does not constitute legal advice. I am admitted in the State of New York only and make no attempt to opine on matters of law that are not relevant to NY State. This advice is based on general principles of law that may or may not relate to your specific situation. Facts and laws change and these possible changes will affect the advice provided here. Consult an attorney in your locale before you act on any of this advice. You should not rely on this advice alone and nothing in these communications creates an attorney client relationship.

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