Ch 13 Discharge - Now What

[Anonymous]

My wife and I just received our Ch 13 discharge on Tuesday after almost 6 years in the process.   (Filed 10/2011)     Where to start from here....

Just checked credit on Karma and Credit check total... My  Karma scores are TU 696 & EQ 707 No score avail on EXP.  My wife Karma scores TU 696 EQ 716 No EXP.

CCT - No scores for me and my wife  TU 570 EQ 604

*The discharge has yet to post  and 3 judgements from Jan 2011 (credit card companies included in BK) are still there.  So, once the discharge posts and the judgments come off - hopefully there will be a bump in the scores?

A few of the old accounts are there but showing paid/ closed back in 2008 so these are old and closed.  No current accounts. We have a mortgage but not showing- how do we get this reporting again? Other than this we have not applied for any credit or anything in the 6 years.

We need a 2nd vehicle- is CAP 1 Navigator Ch 13 friendly?  Is this a better way to rebuild than getting credit cards right away? 

We were thinking about taking out an auto loan (if we can get approved) and maybe one credit card each (if we can get approved) 

We are thinking we should wait a month or so to try and get the mortgage back on credit history and well as let the discharge post and judgements come off then apply for car / credit card.

Any advice or personal experiences to let us know if this a good way to get started is greatly appreciated.

*also, we are thinking about selling our house next year and relocating... we currently have a VA loan.  When we go to purchase next year, will  we be able to use either  VA or FHA?    

DATE FILED 10/17/2011 DISCHARGE 6/6/2017

KARMA SCORES (6/8/2017) 

Me: TU 696. EQ 707 EXP not avail

Spouse: TU 696 EQ 716. EXP not avail

CCT SCORES (6/8/2017)

Me: Not Available 

Spouse : TU 570 EQ 604 

[srloring13]

Your Karma scores cant be used for anything so you need to make sure you disregard them.  

Your mortage wont report unless you reaffirmed it.  Someone will correct me if I am wrong on this.

When did you make your last payment on your Ch 13?  I'm trying to help someone with a timeline between final payment and official discharge.

I dont think the judgements will come off automatically until July- from what I've read about the pending changes for them to be removed.  Are they showing as discharged in bankruptcy or included in bankruptcy?  If not, you may want to work on that or possibly dispute them due to incorrect information if they are not reporting correctly.

You will need a credit card to begin your rebuild. For optimal scoring the recommendation is at least 3 revolving credit cards. If you cant get a unsecured card, you should look into secured cards that graduate.  There are some helpful threads you should read.

HOW TO: From BK7 discharge to 700 in 24 months or less! 

http://ficoforums.myfico.com/t5/Bankruptcy/HOW-TO-From-BK7-discharge-to-700-in-24-months-or-less/td-...

Bankruptcy Friendly Credit Cards Pt.2

http://ficoforums.myfico.com/t5/Bankruptcy/Bankruptcy-Friendly-Credit-Cards-Pt-2/td-p/3999737

You can get a car loan after BK but be aware that your intiial APR might be high but in six months you could refinance at a lower rate once your scores improve.

[Anonymous]

Thank you for the information~.  We made our last payment mid March 2017.  The trustee only sends checks at the end of the month so just say April 1.  So about 60 days from last payment.  We are still waiting for case to close any day.  

The 3 judgements don't say included in BK, there are just 3 separate ones all filed Jan 2011 ( all were credit card companies whose debt was included in the ch 13.)

Maybe we will know more once the discharge posts and we can see how it affects the judgments. 

How do we know if the mortgage was reaffirmed?  We made our payments outside the chapter 13, so we were hoping the credit history would be there.

Thanks for the threads to reference- should we wait until we have a few cards before the car loan?

Thanks again!

[medicgrrl]

I used the Cap1 auto navigator and purchased a new vehicle less than a week after discharge, but I has credit scores. You'll want to call your mortgage company to discuss having the account report before you get an auto loan. Without scores, and having a BK, it's going to be harder to get a loan.

[Anonymous]

Thanks for the info-  we will probably try cap 1 or credit one as first card unless anyone has other suggestions.  Then try for the auto loan in 6 -12 months.

[Anonymous]

Discharge (6/6/17)  is already showing on credit reports (except equifax)  but judgements still there on Trans Union. Anyone know how long before those come off?  Thx!

[mavric]

 I think you will find  it a little  easier to rebuilder after a ch13 versus a ch7.   We were discharged 3/1/17  after 5 years. 

      Have gotten approved on every thing we applied for and never ask about the ch13.   2 new car's ,3 new credit cards each DW and I.   Maybe we just got lucky!

      I say go for it and don't be shy .    Capital one is a great place to start /  car loan and credit card  , That's were we started.   GOOD LUCK

[Anonymous]

Question:

Any advice or personal experiences to let us know if this a good way to get started is greatly appreciated.

===

Based upon my personal experience being Discharged from a Ch 13, a year ago, you will NOT see a bump in your Fico 8 scores until you are in the Rebuilding process, and have acquired new revolving credit, it is "subsequently" reporting to the credit agencies, and TIME passes.

Granted what I just shared with you is NOT what you want to hear, but it is a SLOW incline upward initially. There is NO way to expedite it.  It is what it is.

Best Wishes!!!!

.

[Anonymous]

Ok great, thank you for the details. We will give capital 1 a try. We were just concerned that the old judgements were still on there but perhaps they will come off in the next month. Discharge just posted earlier this week.

[medicgrrl]

I don't think the judgement will automatically come off just due to the BK but they may come off based on new reporting guidelines required to verify they belong to you.

I think you'll have much more success in your rebuild if you make adding the mortgage history your priority. If you can show a good payment history there, you'll probably be approved for better cards and Cal's.