Gambling losses

[rockobuster]

What is the name of your state? OR

We filed chapter 7 and have our 341 meeting in a month. I have $120,00 in credit card debt and about $40,000 of it comes from gambling (which I have since been seeing a counselor and have not gambled). We have a lawyer but I am wanting some advice (or experience) in listing gambling losses. We are current on all our bills. The last time I went to the casino ( and lost big) was a few days before seeing an attorney. I have been juggling making my credit card payments for over a year and a half. Since I have large credit limits on 7 credit cards and my interest is low on all I have been able to do that. The last time I went to the casino I withdrew $14,000 from my checking and savings account from the ATM machine at the casino(this included money that was for my monthly bills which I had just sent out). I had to cover theses losses so I deposited a $9,000 check from a credit card check (which they send all the time) and $3,000 each from two other credit cards into my checking account. I have not been using a credit card at all at the casinos, but instead using the checks they send (after returning from the casinos) so I can keep the lower interest rate, but didn't know for sure if the ATM cards I used at the casino was just as good for proof as using the credit cards in the machines?)I know this is in the 60-day time limit before filing, but I was wondering if these losses can be discharged if none of the credit card companies file an objection to the discharge? If any of the credit card companies (I owe on 7 cards) object would I have to pay what I owe them, or automatically go into chapter 13? My lawyer said that after deducting my expenses from our income that we have $300 left over, but felt good about filing chapter 7. Also, if you are a member of a golf club can the trustee may you quit and pay your monthly dues to them. I have never heard of anybody having to give up any hobbies before, but didn't know for sure. My husband and I both work, have a car which is only 8 months old, a truck that is 11 years old and worth $5,000 and a 1977 travel trailer worth $500. Would the trustee sell the truck or trailer? We would like to continue paying on the car, house, and loan at the credit union of $6,500. Can a creditor and trustee agree on paying for some of the credit card losses in chapter 7? If so, can you make payments or do you have to go into chapter 13 for that? Also, we have received our tax returns for 2004 and have spent them on food, vehicle maintence, household items, etc. I guess one of my main concerns is being able to prove that I did not intentially go out and gamble $14,000 with the intent of not paying it back. I have 10 credit cards and knew if I continued at this pace I would have maxed all of them out eventually. If anybody has any experience in this area, or input please let me know. Thanks!

 

[Ladynred]

Wow.. some paragraph breaks would have been helpful

I have not been using a credit card at all at the casinos, but instead using the checks they send

These checks are generally treated as cash advances by the credit card companies. THAT much in advances you can BET the credit card companies are going to scream bloody murder for FRAUD for those 'checks'.

If any of the credit card companies (I owe on 7 cards) object would I have to pay what I owe them, or automatically go into chapter 13?

If the Trustee agrees with the creditors on fraud, the debts would be deemed non-dischargable. Some of your other debts may be discharged, but you'd have to pay the fraudulent charges. You would be facing dismissal of a Ch 7 or a voluntary conversion to Ch 13.

My lawyer said that after deducting my expenses from our income that we have $300 left over, but felt good about filing chapter 7.

I find a little hard to believe. $300 disposable income is quite a bit more than usually allowed for a Ch 7, especially in the current environment.

Also, if you are a member of a golf club can the trustee may you quit and pay your monthly dues to them. I have never heard of anybody having to give up any hobbies before, but didn't know for sure.

You ARE allowed some expense for clubs and recreation, within REASON. If the amount you pay for your golf club membership isn't seen as 'reasonable and necessary', you may find that expense disallowed.

My husband and I both work, have a car which is only 8 months old, a truck that is 11 years old and worth $5,000 and a 1977 travel trailer worth $500. Would the trustee sell the truck or trailer?

Worth 5K and its 11 years old ?? Where did you get that number ?? Get a blackbook quote (slightly less than trade-in value) and then subtract for any repairs it needs, that's your value. Hard to say what would happen to a 28 year old travel trailer, but it will probably be forfeit.

The OR exemptions are here: http://www.bankruptcyaction.com/orexemptions.htm

Can a creditor and trustee agree on paying for some of the credit card losses in chapter 7? If so, can you make payments or do you have to go into chapter 13 for that?

Ch 7 wipes out your debts - period. If some of the gambling debts are deemed non-dischargable (see above), then you would have to pay those AFTER your discharge. There are no payment plans in Ch 7, for that you go into a Ch 13.

Also, we have received our tax returns for 2004 and have spent them on food, vehicle maintence, household items, etc.

Can you prove it ?? Do you have receipts to show EXACTLY where that refund went ?? If its for necessities then it should be ok, but you may have to account for it all.