BK creditors remove by the end of 2013

[TwoBeFree]

I have some questions my BK creditors final creditor is schedule to fall off on Dec 2013. I have 3 that will fall off in Sept 2013 but under my Public record it shows that my BK want fall off until 2016 will this affect me being able to be finance for a car next year.  My score is low around 560.  I have two items that is pending for a deletion and 1 collection that is schedule to be paid off on Aug 30 2013 that I am gone to try a GW letter for a deletion.

I spoke with the Manager at my Credit Union and she said that I needed a 600 to be able to get a car.

[Scupra]

Can we get a little more info? What have you done to rebuild? What trade lines do you have? Give us some more info to go off of and I am sure someone here can help

[SoulMaster]

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@Scupra wrote:

Can we get a little more info? What have you done to rebuild? What trade lines do you have? Give us some more info to go off of and I am sure someone here can help

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+1 to this.  You're nearly 7 years out of a CH7, so no the BK isn't what's going to hurt you.  What's going to hurt you is whatever you've done since the BK.  I'm guessing there are some recent problems because your score is only 560... 7 years out of a BK you should be north of 700 if you've done a proper rebuild and have no other credit issues.  That 560 is what's going to make getting an auto loan very difficult.

Cheers,

-SM

[TwoBeFree]

I paid out one secured loan through my CU in July. I had one secured credit card that is closed. I am paying on a collection that will be paid off this month. I have a school loan that is in collection for $2800 from 9/2011 that I haven't started paying yet. I was told by the CU manager to start rebuilding. But I tried getting a secured with Capital one and was denied in Feb. 2013.  I have been trying to avoid opening any new credit until the BK falls off in Dec 2013 but I found out that it Public Record want come off until Dec 2016. I just feel there is no hope.

[SoulMaster]

The trouble is those collections; they're showing that you didn't "learn your lesson" from the bankruptcy and wound up in credit-trouble again.  This is actually pretty common, so don't feel too badly.

I'd strongly suggest reading this thread:

http://ficoforums.myfico.com/t5/Bankruptcy/Something-ALL-of-us-BK-people-need-to-remember/td-p/22849...

The first paragraph is particularly poignant in your situation.  It might be harsh, but it's about as straight-to-the-point as it gets.

You need to get those collections PIF (and possibly removed) before you'll have any hope at a rebuild.  If you're struggling, I'd suggest getting the book "Total Money Makeover" by Dave Ramsey.  You're going to have to force yourself into the rice&beans budget he talks about in his book, and eliminate any sort of "Want It" purchases.  Might want to use mint.com to help with the budgeting, though his envelope plan works really well, too.

There isn't going to be a quick fix for this. And until you've got those collections 100% squared away, it's fairly pointless to try doing anything else.  IMO, you'll just be racking up inquiries which isn't going to help either.  Once those collections are paid in full, there are several of us here who can help you with your rebuild.  Unfortunately, until they are, any rebuild would be like trying to bail out the Titanic with a thimble.

To summarize: Forget about that public record, it's not the problem. 

Best of luck to you,

-SM

[Countingpennies]

As said before, it's not the PR BK that is hurting you, it's your collections, and I imagine you also have a good number of 'lates' on your reports. Most people 6 mos. out of BK are in the mid-600's, and it's possible to be in 700's within a year or two. Stop worrying about your PR, and get everything else cleaned up.

Here's an example: I was discharged 11/2012. I made sure all my reports were reporting accurately, and 2 mos. out, my scores were low 600's. I was approved for two Cap1 cards and my scores were in the mid-600's after 6 mos. Then, a collection account showed up and my scores dropped over 50 points. The collection was in error and removed quickly and my scores went back up. So, just one collection (paid or unpaid) on your report can be worth about 50 points.

[TwoBeFree]

Is it possible to for me to get an auto loan with a 600 along with whatever else I have negative since than.

[TwoBeFree]

Thank you so much I will purchase it today and get focus and start as soon as possible.

[Countingpennies]

If it is possible, which is doubtful, you will be paying crazy-high rates. If you really NEED another car, you would be better off saving up and paying cash for something to get you by until you get your reports and scores in shape.

Are you going to do anything with that student loan?

[Scupra]

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@TwoBeFree wrote:

Is it possible to for me to get an auto loan with a 600 along with whatever else I have negative since than.

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This is hard to answer.. Your 'score' alone is not what will get you a loan, it's more about what MAKES your score. Try and clean some stuff up and rebuild a bit before chasing after an auto loan. It will save youthousands of dollars in the long run (interest rate)