Bankruptcy

[derylk34]

I filed my ch.7 with my lawyer on feb the 12th.. We go to the341 meeting on march 11th.. What should i do after that do rebuild my credit.. My BK was mostly due to a lot of medical bills from a very bad car wreck and a few loans that i just got happy applying for then couldn't pay I've only burned 1 credit card company in this BK and thats capital one but i know none of the "big" banks will give me credit right now.. I have thought about getting 2 or 3 secured cards since i have the money do make the deposits needed now.. but which ones are the easiest and best to get?? Thanks for any input i get  

[starry1]

Don't apply for anything until after discharge, you'll just be wasting inquiries since everyone will deny you.  After you are discharged and your credit reports update to say your bk is discharged, then you can get secured cards.

[aussiesareforever]

Capital one will probably give you an unsecured card. Check their pre qualification website and apply anyways, even if you are not pre-qualified. They will also very likely give you a secured card. Another great option is your local credit union. Just walk in, lay it on the table and see what your local loan officer can do for you. Don't apply blindly and apply everywhere. Don't get six low limit credit cards all in the name of rebuilding. Just be strategic and PATIENT.

I burned two capital one cards in BK. they gave me a new card about 2 months post discharge. That was really my only rebuilding card. Didn't get any other lines of credit for three years. Haven't been denied for credit either (other than the AMEX I applied for. Which I found out later that it was a dumb move on my part). I still have five years to go on the BK. but I am a big believer that good credit recovery is attainable. With time and patience.



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[Countingpennies]

I agree with all of the above. I waited until about 6 weeks after discharge (11/2012) and pulled reports from all 3 CRAs. Many TLs not reporting correctly. I am in month 2 of cleanup and still working on it.

I think your first step should be discharge, and second would be check your reports and make sure everything is reporting correctly, then think about new credit cards.

Best wishes on your fresh start!

[chasmith]

Be sure you have a bseline either just before filing (my lawyer pulled all three to be sure all creditors were on the schedules), or right away, so if accounts closed before filing get included or negatives are posting after filing you can prove it.

[Guyatthebeach]

I would not apply for anything until your bankruptcy is discharged. While you are waiting, you should look around and see if there are any credit unions that offered secured credit cards. Find out who underwrites their credit cards? If Elan Financial or FNBO underwrites their credit cards, don't bother because they will not approve you due to bankruptcy. When you find a credit union that underwrites their own cards, join it and start saving up. Join Navy Federal Credit Union if you are eligible. Just patiently wait this out and review the forums.

Good Luck!!!!

[derylk34]

My 341 meeting is in 2 hours and i feel ready.. After the meeting and once i get discharged i can't wait to start rebuilding as i'm looking in the next 3 years to buy a home..

[Guyatthebeach]

Hopefully your 341 meeting went well. Now the hardest part is behind you.  Listen to your attorney and follow his advise. The first thing I would do is create a budget and a savings plans to prevent this from happening again. Use the forums here and you will do fine.

Best of luck to you.

[REbuildingDIVA6]

Hello starry1, 

Your post and dates are just so inspiring!!! I have a very similar timeline, so far I just have Capital One $500, my deferred student loans (still in Grad School) & an auto car loan. 

I know that my debt to income ratio is low and I need some more revolving credit...I'm new to the boards and I'm so ready to soak up all the info and get my credit on the right track this time around!!

Thanks for sharing your wisdom 

[starry1]

Thank you!  its been a lot of hard work and lots of tears, but I think it will be worth it in the end.