A creditor may challenge the discharge of a debt in bankruptcy if the creditor believes the debt was incurred by fraud.

In the credit card context, that usually means that the creditor alleges that either the card was obtained by using false information, or, more frequently, that the use of the card by the debtor was fraudulent.

Just claiming that the debt was incurred by fraud is not enough to except the debt from discharge: the creditor must file a timely proceeding in the bankruptcy case and present facts that prove fraud at trial.

What is it that we are seeing here? Is underlying problem ourselves?

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