A question about credit card applications (see details below)?

The question they are asking you is if you have a bankruptcy on your credit history, not if you've had one at any period in the history of your life. Once it's off your credit record (verify this first!) you can say no, and you won't have to worry about ethics since you're telling the truth: No, you do not have a bankruptcy on your credit history.

Lying on a credit application isn't unethical, it's illegal. It's called fraud and can be criminally prosecuted. Read that paragraph right above your signature. It says something to the effect that you swear all the info provided is correct.

Just because your past bankruptcy has aged off of your current credit report does not mean record of it has vanished into thin air. That information still exists, Credit apps ask if you have ever filed bankruptcy. Your truthful answer is 'yes'. Always answer truthfully.

Putting something on a credit application that you know is untrue is fraud. Never say they can never find out. If push comes to shove, they will find out. It is in the public records and is available for all to see.

Don't lie on your credit card applications, answer the question truthfully because you could be held up with false information or fraud if you don't.

That's one of the many disadvantages of filing bankruptcy--any time you are asked if you have ever had a bankruptcy, you have to either be honest and say yes, or you have to lie about it. After ten years, the bankruptcy comes off of your credit report (or at least it should), so there is really no likely way the credit card company would know that you lied after ten years. Is it unethical? Yes, any time you lie to benefit yourself in a business transaction, it is unethical. Plus, by lying about it, you are compromsing your own integrity and reputation. In the business world, it is pretty much true that "what goes around, comes around." Statistically, one thing that nearly every self-made wealthy person has is integrity. If a credit card company found out about the lie, they could increase your interest rate considerably, or cancel the card; but it would be very unlikely for there to be any legal consequences. However, in the case of an insurance form that asks about a bankruptcy and you lie, you can find that they will not pay out when you have a claim--and they have every legal right not to pay out since you lied on the paperwork. This can prove to be a huge problem in homeowner's and life insurance especially. You can also be evicted from a rental if you lie about bankruptcy on the application and it is later discovered. The legal and ethical dilemmas alone are why I always recommend to my clients that they do everything possible to avoid bankruptcy.