Can I use a Credit Card to Pay for My Bankruptcy in New York City?

Can I use a Credit Card to Pay for My Bankruptcy in New York City?

As an attorney I have to advise any client considering bankruptcy in New York City to avoid incurring more debt before filing.  If you are thinking about bankruptcy then you are probably already underwater and not paying your bills.  By order of the US Supreme Court I cannot encourage you to take on more debt if you are already insolvent.  Furthermore, depending on the situation it’s likely that if you take on more debt right before filing, you probably won’t be able to get rid of it in bankruptcy anyway.

With that in mind, unfortunately bankruptcy attorneys cannot accept credit cards from their clients in New York City.  Debit cards and secured cards are fine, but any payment racking up more debt for you is a big no-no for a bankruptcy attorney.  If you think about it, it’s also a pretty bad way to start working with someone who is there to help you get out of debt.  Paying for a bankruptcy requires a cash or check payment for the most part, but there are things you can do to help make paying for a bankruptcy in New York City easier to deal with.

Many attorneys will accept a reasonable installment plan.  You can immediately get the creditors off your back by paying for your bankruptcy over the course of a few months.  In Chapter 7 Bankruptcy your case won’t be filed until you have paid in full, but you will begin to feel some immediate relief with a payment plan.  If you need to file faster you can try to borrow some money from family members or even get a part time job to cover the bankruptcy costs.  If all else fails you may be able to use the credit card of a willing family member, but this too should be avoided at all costs and may not be available at every law firm.  Scrimping and saving, getting some help from family, and working with your attorney on a payment plan will prove to be a much better long term solution to paying for bankruptcy than adding to your mountain of debt with another high interest credit card charge.

We help a lot of clients find a creative way to pay for the bankruptcy protection they need and do everything we can to avoid adding to their debt problems.  We want to help people get the fresh start they need.  Worrying about toxic debt is bad enough, contact the Law Offices of William Waldner online or at 212. 244.2882 to arrange a free consultation if you need to help figuring out how to fund your bankruptcy.  We offer affordable bankruptcy assistance for all New Yorkers while maintaining a 99% Chapter 7 discharge record in New York City as of 8/31/16.

This article is intended for educational purposes only.  By reading this article no attorney-client privilege has been created.