WIll filing bankruptcy for my Mom's debt hurt my credit as an authorized user on her credit cards?

You can contact your local Area Agency on Aging for resources and information. I agree with the above answers, make sure you are just a signer. When your mother is admitted to the nursing facility, the state will send a letter (after you apply for Medicaid) stating her income, except for around $74.00 will go to the facility for her stay, then Medicaid will pick up the rest of the expenses. The $74.00 (or whatever is the allowance in your state) will be for her personal needs and it can be spent on TV service, clothing, snacks etc.

They can freeze the account, but can't if you move it into another account, with another name, or better yet convert it to cash. The additional account should be in another account not in her name. If the Federal Govern gets involved it won't matter. It doesn't effect your credit score at all; there is a time frame that would not allow for that money to be kept and would be required to be added to the cost of the extended care costs.

My understanding has always been that it can affect your credit (i.e. be reported on your credit report) but that you can't be liable for the debt. I could be wrong, though. Anyone else have greater knowledge about this?

I'm guessing that you are concerned that if she owes debts and goes into a nursing home that the steps the creditors may take to attach her income or assets will impair her ability to pay for her care. The bankruptcy itself doesn't affect her entering the nursing home, just how the care will be paid for. You might want to get some free consultation appointments with both a bankruptcy and elder law attorney to see if you really need to spend money to do a bankruptcy in her situation or if some other resolution can be found.

Yes, check your credit report from all three credit bureaus (free annually). An authorized user means you are accepting the same responsibilities as the original owner. I learned that and I took my name off some of my husband's account. And if you stay on, bankruptcy lasts for TEN years on the credit report. So think very hard and wisely if you want your name on those accounts.

P.S. - not sure why you need to file BK just to get her into a nursing home?

Get a copy of your credit reports - if any of those cards show up on your credit file, then yes...it will hurt your credit and they will come after you next.

Be absolutely certain that you are only a signer and not a co-borrower. Certainly you are going to get calls, as they attempt to collect the debt. If they go to court and obtain judgment and a garnishee, almost anything can be "frozen".