Divorce and Bankruptcy

If you are doing your internet research, you may read about special rules for luxury goods. This is different from the cash advance rule. Luxury goods are things that you don’t really need for daily living. They include the things you would expect. The court would look at the circumstances and the expenditure. If you try to mix luxury goods, purchased with cash advance and bankruptcy, this is a bad mix.

For example, medical expenses are not luxury goods, normally. A trip to the emergency room for a broken arm, or the dentist for a toothache would be considered normal consumer expenses. But a Botox injection for your lips, or a cosmetic teeth whitening treatment would likely be considered luxury expenses. More cash advance and bankruptcy mistakes here.

The luxury goods and services rule only applies if you are charging the goods or services on credit cards.

When you’re thinking about bankruptcy and looking into the different options for debt relief, think about your recent charges or cash advances and ask your attorney about them. It’s very helpful to get the advice of a certified specialist in this area to avoid being sued in your bankruptcy.

Richard West is trained, and certified and experienced in all debt relief options. He’ll make sure you know what not to do, as well.