topic Re: From BK 2003 on my way to 800 club in Bankruptcy

From BK 2003 on my way to 800 club

michael2323jordan — Wed, 26 Dec 2012 13:27:26 GMT

I will make this short and sweet. I had my BK discharged in early 2003. I worked my butt off to pay all debts I owed (to clean up my report) as well as make EVERY SINGLE solitary payment ON TIME since. I am happy to say I pulled my TU and EQ this morning and they were 774 and 796 respectively!! It CAN be done!

:smileyhappy:

Re: From BK 2003 on my way to 800 club

Scupra — Thu, 27 Dec 2012 01:59:42 GMT

I am sure this is inspiration for a lot of us here! Congratulations, that is beyond awesome!

Re: From BK 2003 on my way to 800 club

MovingForward_2012 — Fri, 28 Dec 2012 14:37:43 GMT

Wow! Congrats! That is fantastic! :)

Re: From BK 2003 on my way to 800 club

QueenofReinvention — Fri, 28 Dec 2012 18:50:07 GMT

I'm glad to see this today, because for some reason I've been thinking about the looooooong road ahead of me, and I was a bit discouraged, but this lifted me up. Congrats to you!!!

Also, what I like about this post is that, while there are people who write on here everyday that they went from X to Y in (a year, 2 years); this seems more realistic to me, because it's more about the slow journey to reaching your goals. There was another post where someone increased their score and secured all of these accounts in a years time, but one HUGE factor, was that persons income increased significantly, so I believe that is a huge difference! Example, if you are trying to dig out of debt, and cut back on things while you make 24k, 30k, 40k a year, while also just "living," it's difficult sometimes to find a spare dime to send to make extra payments or negotiate settlements. Again, not impossible, because there are sacrifices to be made. BUT, if a person started out in debt, and made only 20k a year, and then when they are ready to improve their credit, they are making 80-100k a year, that is a HUGE factor, because they (presumably) will have more discretionary income. Again, that's assuming that they budget, and spend LESS than they make a year.

Anyway, I said all of that to say, I'm glad to see a person commenting on the journey that I'm inevitably going to be making over the next several years, as I don't forsee myself increasing my income triple or quadruplefold anytime in the near future, but, I keep hope alive :)

Thanks for your encouraging post!

Re: From BK 2003 on my way to 800 club

aussiesareforever — Sat, 29 Dec 2012 00:02:24 GMT

Congratulations OP. Can't wait to see where I am in 5 years.

Actuallly, I can't wait until the BK falls off. The increase in score will just be icing on the cake :)

Re: From BK 2003 on my way to 800 club

michael2323jordan — Sat, 29 Dec 2012 00:27:25 GMT

I will add just a bit more. I worked extremely hard at this as well as my career. I was able to add a lot to my bottom line (salary) by gaining certifications and studying. This coupled with fiscal discipline was paramount. Back in 2008 I applied for my first mortgage loan with a credit score in the low 600s. I secured an FHA loan that I refinanced, into a standard 30 year by 2009. Just last year I refinanced again into a 15 year (as my financial situation was greatly improving).

Nothing I did occurred overnight--but early on I was on a mission to "clear my record". There were many things on my credit report not included in my BK so I wanted those to be cleared up and/or paying as agreed. Then it's basically just a waiting game. Early on it's ok to be satisfied with a secured CC. I made my bed so I was going to lie in it. After a while (2-3 years), I applied for a CC with my credit union and they were more than happy to help me rebuild. I transferred my auto loan to them and do all my banking through them as well. I suggest joining one if you haven't already.

Any questions feel free to ask.

Re: From BK 2003 on my way to 800 club

Epcot — Sat, 29 Dec 2012 00:41:39 GMT

That is great progress, Congrats on such amazing scores! :)

Re: From BK 2003 on my way to 800 club

Mason70 — Sat, 05 Jan 2013 00:21:50 GMT

Congratulations on your success. When the bankruptcy is filed it seems like an impossible task ahead. Especially, when the bankruptcy process first starts there are a lot of emotions and stress involved. Throughout the process there were probably many highs and lows but you completed the process and now your back in the game.

Edited

Re: From BK 2003 on my way to 800 club

FocusedAndDetermined — Sat, 05 Jan 2013 23:37:28 GMT

Congratulations and your success! I have a similar experience/story. BK in 2007, 731 FICO with TU and EQ, today, with BK still showing on report. Will be so happy when BK finally drops off in 2017.

Re: From BK 2003 on my way to 800 club

Cjmmm — Wed, 09 Jan 2013 04:25:47 GMT

Is there a typical amount of points that your credit raises when the BK drops off? Mine was discharged 10/03, so I'm assuming it'll drop off this October?

Re: From BK 2003 on my way to 800 club

Rhaeny — Sat, 12 Jan 2013 03:37:27 GMT

Cjmmm wrote:
Is there a typical amount of points that your credit raises when the BK drops off? Mine was discharged 10/03, so I'm assuming it'll drop off this October?

It could increase or decrease depending on your credit history. Many have said that they seen a dramatic increase, and others say that there was a decrease because they were rebucketed. Meaning that now they are being scored against others with the same credit history instead of with bk'ers. So it just depends on how well you have built your credit up and how old your credit history is. So there is no set amount of points you will or will not get.

Re: From BK 2003 on my way to 800 club

kimmiller112 — Sat, 12 Jan 2013 04:55:25 GMT

Has it dropped from your credit reports? You said early 2003 but didn't specify month so just curious. I still have 2 years, 9 months to go on mine.

Re: From BK 2003 on my way to 800 club

michael2323jordan — Sat, 12 Jan 2013 08:06:06 GMT

Yes it has dropped from my reports.