Should bankruptcy (Chp 7) be the last choice (No asset and property, only credit cards debts)?

If you didn't benefit from the use of the cards (it was all spending on him), you could pursue the ID theft angle under FACTA to get these items off your credit and out of your hair. That would expose him to some criminal repurcussions, however.

Depending on your income, a BK with nothing but credit cards in it might require you to go Chapter 13, paying it all back in 3-5 years. That might not be so attractive. 60% of Chapter 13 plans fail.

Depending on your financial situation, some or all of your creditors might forego suing and some or all of them might sell to junk debt buyers who are more easily defeated in court than original creditors.

Informal Bankruptcy is an option when formal bankruptcy isn't attractive for one reason or another.

My best advice to you is to seek the advise of a competent bankruptcy lawyer. Most bankruptcy lawyers offer a first visit free consultation. Make sure that you select an attorney that has been practicing law for a considerable period of time and who's emphasis is on bankruptcy law. When you call to make an appointment be sure to find out what documents you should bring to your meeting in order to get the maximum benefit from your free consultation.

I agree with Attorney Hankins' answer and would add that only you can decide if bankruptcy an option - the attorney is just there to guide you and should be able to answer your questions in a way to help you make up your mind. If they can not, I'd consider another attorney.

Good luck with your situation and I'm sorry your ex-husband left you in this situation.

Matthew Williamson

Bankruptcy has been used by many of our nation's largest companies like Texaco, America West Airlines, Macy's, T.W.A., Pan Am, A. H. Robbins, Penn Central, Wards – as well as famous people like Jerry Lewis, Kim Basinger, David Bowie, Anita Bryant, Natalie Cole, Mickey Rooney, Walt Disney, Tammy Wynette, Mick Fleetwood of Fleetwood Mac, Zsa Zsa Gabor, Isaac Hayes, Don Johnson, Abraham Lincoln, Donald Trump, MC Hammer, Marvin Gaye, Archie Griffin, Dorothy Hamill, Milton Hershey, Perez Hilton, Ronald Isley, LaToya Jackson, Thomas Jefferson, P.T. Barnum, Merle Haggard, Willie Nelson, Burt Reynolds, Larry King, Cyndi Lauper, Abraham Lincoln, and former Treasury Secretary John Connally.

The same laws that are routinely used by corporate America, and the rich and famous, can protect you and your family.

In Chapter 7 you can keep the property that is protected in the bankruptcy, and generally anything you acquire after the bankruptcy. The day your bankruptcy is filed acts as a "cut-off" date. Anything you earn after the filing date is yours. Anything that you own or have owed to you before the case is filed is subject to the bankruptcy court's rules. Most normal belongings are protected (as outlined above).

Today, many stores and banks actively market to people who have filed bankruptcy. Mortgage companies do help applicants get new mortgages with a bankruptcy after two to three years. As a practical matter, you only file a bankruptcy when you can't pay your bills. Because of that, your credit is probably already bad. A bankruptcy won't make it any worse. Bankruptcy puts you in a better position to pay current bills and that should improve your chances of getting new credit.