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Contributor
Posts: 90
Registered: ‎11-12-2010
0

File for BK but withdraw it, effect on credit?

I'm unemployed and seriously considering BK. If I file but get a good job before it's discharged and withdraw the BK, how does that affect my credit and credit score?

 

Moderator Emeritus
Posts: 4,470
Registered: ‎12-31-2008
0

Re: File for BK but withdraw it, effect on credit?

Hi carolina,

 

When you file BK, whether you withdraw (change your mind), are dismissed (do not complete), or discharged (complete it), it reports on your credit report.  And, of course, you'll still have to pay the legal fees if you withdraw.

 

Ch 7 reports for 10 years; Ch 13 reports for 7 (CH 13 dismissed reports for 10 years on EQ).

 

I strongly recommend you do a free consultation with two or three competent BK attorneys.  You'll gain a boatload of knowledge that will enable you to make a decision and know what's right for you.  Remember that BK attorneys have a bias as they make their living filing BK's; so also remember to check out other legitimate options.

 

Best wishes to you as you move forward.

Just puttin' syrup on something, don't make it pancakes.
Moderator
Posts: 15,678
Registered: ‎07-14-2009
0

Re: File for BK but withdraw it, effect on credit?

As always beamMEup has good advice.

 

If you don't mind posting some details of your situation you might be able to avoid BK altogether. There are some very bright minds around here who have been down that path (including me). Wait......I didn't mean I was one of the bright minds I meant I've been down that path.  :smileyhappy:

 

There is always hope and no hopeless situations. Just post what you feel comfortable with. If you don't want to do that right now then please stick around and read and search and learn all you can before making a final decision about BK.

 

 

 

From a BK years ago to:
EX - 9/09 pulled by lender 802, EQ - 10/10-813, TU - 10/10-774

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

 

 

 

 

 

Contributor
Posts: 90
Registered: ‎11-12-2010
0

Re: File for BK but withdraw it, effect on credit?.

Ok. These are the details. Been unemployed 2 years out the past 3 years. Before that in graduate school; get out but no job. I'm currently drawing unemployment. I religiously pay my bills and have 2 degratory reports of 30 days late on my credit report that are a couple of years old (I'd have a top credit score if it were not for my debt). I'm 92K in debt, of that 32K is credit cards (used them to keep my bills paid) and 60K is student loans. I have resisted for 3 years filing BK, thinking things would improve. I negotiated a lower interest rate with most cards, except for Discover, which is the worst and charges me 29 percent interest even though I've never been 30 days late. I've honestly tried to pay my bills but feel I can't keep this struggle going any longer and that it's against my best interest to do so and doesn't make good senese. Even if I file BK, I'm still 60K in debt with student loans. Iv'e prayed about and believe this is the direction God is pointing me in. The Bible provides for the forgiveness of debts. BK goes against everything I  want for myself, but sometimes we have to do what's really hard and that we don't want. It's like cutting off a leg infected with gangrene in order to save the body. If you have other suggestions, please let me know.

 

 

Valued Contributor
Posts: 3,302
Registered: ‎06-09-2010
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Re: File for BK but withdraw it, effect on credit?.

I am sorry for your mishap of being unemployed after several years. Hopefully things will get better for you and your future will improve with great internal wealth, health and happiness.

 

Good Luck

Good Luck
May all your dreams and wishes become a reality!
Contributor
Posts: 81
Registered: ‎10-12-2010
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Re: File for BK but withdraw it, effect on credit?.

Unfortunately the debts that the Bible is talking about are not financial. 

07/23/12 - EQ - 733

Low Point - 558 in late 2009
Working towards being debt free! FICO Goal: 700+ and debt free!
In my wallet - AMEX Green, Discover Platinum, BOA Alaska Airlines Signature
Moderator Emeritus
Posts: 4,470
Registered: ‎12-31-2008
0

Re: File for BK but withdraw it, effect on credit?.

We probably want to stay away from any doctrinal discussions here.

According to the FICO Terms of Service:

Users of FICO Forums agree not to upload, post, or otherwise transmit any content (including but not limited to text, links, communications, software, images, sounds, data, or other information) that includes any of the following inappropriate content:

  • Discussions including race, nationality, sex, religion, politics;

 

carolina, I strongly recommend you do a free consultation with two or three competent BK attorneys.  You'll gain a boatload of knowledge that will enable you to make a decision and know what's right for you.  And remember to check out other legitimate options.

 

Best wishes to you as you move forward.

Just puttin' syrup on something, don't make it pancakes.
Contributor
Posts: 90
Registered: ‎11-12-2010
0

Re: File for BK but withdraw it, effect on credit?.

I have seen 2 BK attorneys and was offered not suggestions other than BK or get a high-paying job and pay the bills off. I'm unemployed and would be happy to pay the bills if I had a job.

 

If you have other alternatives to suggest, please do so because I don't know of any.

Moderator
Posts: 15,678
Registered: ‎07-14-2009
0

Re: File for BK but withdraw it, effect on credit?.

My BK was so long ago and the laws have changed so much that I am reluctant to give specific advice because I don't want to say the wrong thing but I do know that under most circumstances student loans cannot be included in BK. Have you talked to your SL provider to see what if anything they can do for you?

 

 

From a BK years ago to:
EX - 9/09 pulled by lender 802, EQ - 10/10-813, TU - 10/10-774

"Some people spend an entire lifetime wondering if they've made a difference. The Marines don't have that problem".

Valued Contributor
Posts: 3,302
Registered: ‎06-09-2010
0

Re: File for BK but withdraw it, effect on credit?.

Do not take this as offensive please.

 

Being unemployed really hurts most when comes from circumstances beyond our control. I am sure you have looked for work in the industry you are familiar with. Maybe it is time to bite the bullet and lower your ability in your job search to include the thats not for me and the I can not work there jobs you apply for. Then there is always the possibility of going back to school and learning something new, possibly an internship with a company. 

 

Your situation is not unusual with todays employment market, but you have to push yourself to move forward. Wish you the best of luck.

Good Luck
May all your dreams and wishes become a reality!
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