Know What You Are Getting Into
Posted by Kevin on January 2, 2012 under Bankruptcy Blog | 
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Credit card debt is almost always discharged in bankruptcy. That means that you do not have to pay the debt. If a creditor tries to collect a credit card debt while the bankruptcy is pending, that is called a violation of the automatic stay. If it happens after the bankruptcy discharge and close of the case, it is a violation of the bankruptcy injunction against collecting discharged debts.
But there is another way to get a debt “discharged”. That occurs when a credit card company does not sue you before the statute of limitations runs. This is sometimes referred to as “expired debt”. In NJ the statute of limitations is usually 6 years. In the past, if a credit card company did not sue before the statute of limitations ran, they were SOL.
