This came across my bankruptcy docket monitoring system today: A complaint by Discover Card to hold its credit card debt nondischargeable on grounds of fraud. It’s rare I see these types of complaints, so I checked it out. I figured, “This must be some sort of monster debt and saturated with all sorts of bogus expenditures.” Not so. Although it can certainly be argued that the debtor racked up charges with no intent to pay, this case didn’t seem exceptional compared to scores of other Chapter 7 filings I’ve seen.

It makes me wonder: In light of the credit card industry’s problems, are credit card companies starting to go after bankrupt debtors more? I don’t blame them. A whole lot of consumers who figured they could merely charge up their cards then discharge them in Chapter 7 might be receiving harsh corrections.

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