Things to be aware of if facing bankruptcy 6

As a follow-up to my last warning post  where I talked about preferential payments including to insiders (friends and family members). I ended that post saying that after your bankruptcy is completed (discharge order, case closed) then you can repay anyone you like. This post is a caveat to that statement. Do not promise a creditor, whether friend or foe, that you will repay them afterwards. Simply let it be a nice surprise. T

You see, if you end up not paying them in full after the bankruptcy is over, your promise to pay could give them a legal argument to try to overcome the discharge of the debt. Basically, they would say that they relied upon your promise to their detriment and thus you defrauded them.  This could lead to that particular debt suddenly becoming non-discharged. This is an unlikely eventuality, but attorneys deal with such things all the time. So, it is best just to stay silent and pay if you can.