Every struggling small business owner who crosses the threshold of my office believes that his corporate credit card is not a personal debt.
In 38 years of bankruptcy practice, I have never seen a credit card for which a living, breathing human being was not liable. Not one.
The card may have the corporate business name on it. Mine says Cathleen Moran, Moran Law Group.
But in fact, my corporation is not even jointly liable with me on that card. It’s just me on the hook.
Which is scary given that these “business” cards are marketed as another form of business financing. Their debt limits are easily five figures and many businesses have a drawer full of them. [Read more…]