Bankruptcy

[Rhaeny]

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stormb28 wrote:
Rhaeny,

How far out were you from BK when you got the discover it?

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I got it 2 months post bk and they pulled EQ and myFico here was 714, but when they sent me my card the letter said that my score was 668.  That's because they use an enhanced bank card model for approvals.  That was almost a 50 point spread between the two!  So I beleive I was dinged due to some old IIB accounts and the fact that I have so many newly opened accounts.  So if you apply keep this in mind.  I guess this is similiar to what the car dealers do when they pull an auto-ehanced version of your report.

[stormb28]

Wow, I applied 6 months ago and was rejected. My EQ was 657, denied cause of BK. I really want to re-app for it, come to think of it, I apped for the Discover More.

[Scupra]

Two months post bk?! Wow! What type of bk was it? Good to see an approval though and congrats!

[Rhaeny]

Mine was a chp13 that I filed in 2007, so that may be the difference in Discover's eyes right there.  So the age of my bk is 6 years whereas others who filed a 7 may be a lot less, however my discharge date in 2012 clearly shows on my report so they DID see it.

[Scupra]

Anyone post chapter7 to get approved?

[stormb28]

Ch 7 may be a diff story.

[Rhaeny]

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Scupra wrote:
Anyone post chapter7 to get approved?

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I don't think its about the type of bk you filed...its the length of time SINCE the bk and the credit that you've built.  When I look at the database of those who were approved it looks like its at least 2 years from filing date with no negatives after bk and the lowest score posted was 630.

[stormb28]

Ill be two years out in October, my score now is 680 (TU), should I app then?

[Scupra]

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Rhaeny wrote:

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Scupra wrote:
Anyone post chapter7 to get approved?

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I don't think its about the type of bk you filed...its the length of time SINCE the bk and the credit that you've built.  When I look at the database of those who were approved it looks like its at least 2 years from filing date with no negatives after bk and the lowest score posted was 630.

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I feel like someone who has a bk13 and someone who has a bk7 are looked at different though.. I do agree with the time since and new history weighing in heavily though. I work at State Farm and we will finance someone with a bk13 at any point but if you have a bk7 they require a yr post bk7 discharge. Like you said though they require the one year to see how you are rebuilding. 

[MovingForward_2012]

I filed both a 7 and a 13. Once the 13 was discharged and removed, I am now able to get a house and I am currently under contract. The 7 is still on there and is 9 yrs and 4 mos old and believe it or not, it is still hurting me unlike the 13 which is gone even though it was filed 2 years after the 7.

Here's an example of how the 7 is still hurting me. I applied for a Chase Freedom on 12/22 and BARELY got approved after reconsideration. Why? The Chapter 7 BK even though it is almost 10 years old. My scores are 700+ and it didn't matter. So that is why I said it is good you have gotten the cards you have now because it will be awhile before you are approved for a prime card...like 7 more years. Chapter 7 means it is done and over with but lenders know you burned the included creditors instead of paying them off through the plan. It is similar to an unpaid charge off, only worse. People can get approved for a mortgage while still in a 13; however, they have to wait 2 years after discharge of a 7. I guess refinancing is different.

You say you don't care about another 3 years but you will in time. It just hasn't hit you yet. A Chapter 7 hurts bad. That is why it should be the last resort. File a 13 if you will stick to the plan and pay off the creditors...it is better in the long run.