Newly discharged - how do I rebuild? HELP

[Anonymous]

I'm glad I found this forum!  I have been reading, but I wanted a few opinions on my current situation.  I'm recently discharged as of May 2017 (yes!) and my current credit scores on Credit Karma are 567 (EQ) and 581 (TU).  I noticed a drop in my EQ score (110pts) while in Ch13 and I have no idea as to why!

I waited until after disharge to replace my vehicle.  I financed $43K (had paid $6K down).  My current interest rate through dealership (with Capital One Auto Fin) is 11.67% which seems a bit high after reading the boards.  How do I rebuild my credit score so that I am able to refi my car loan?  Also, what else can I go do to just rebuild my credit? I have a mortgage that I have paid on time each month during Ch13.  It doesn't seem to be showing, though.  Any suggestions would be greatly appreciated.

[medicgrrl]

First, pull your free reports from annualcreditreport.com.

Second, pull your FICO scores. FAKO score's can be way off!

Third, try the prequal site for Cap1.

Who do you bank with? I started with Cap1 and a card from Victoria Secret. Don't get a bunch of store cards. I got that one because I shop there and it's worth it. I was also able to get an unsecured card from my local CU. Do you have the ability to join NFCU?

[Anonymous]

Thank you!  I pulled free reports but had to have EQ mailed for some reason.  EXP was quite sparse with info (not sure what to do about that).

I will try the prequal site for Cap1.  If I am declined, do I look elsewhere? 

I bank with Suntrust.  I'm not miltary affiliated but several family members are veterans (dad, granddad uncles).  Maybe I can qual for NFCU.  There are some local CUs that I can look into joining.

[medicgrrl]

You can qualify thru your dad. I did that and just provided a copy of his DD214 along with the other documents they requested. They pull TU for membership.

Has your new auto loan reported yet? Once it does, I would pull your actual FICO scores from Credit Check Total. It's only $1 for the trial membership. Just cancel it within the first week.

NFCU won't give you an unsecured card yet, but I would go for their secured card if you have money to do that.

Is everything correctly reporting with TU and Experian so far?

[Anonymous]

Actually, no, everything in not reporting properly so currently I'm disputing.

Is it true that although my mortgage was still paid on time throughout the bk, it still won't show up? It's currently showing as not having any monthly or current payment.

Is NFCU the preferred CU or can I go with a local one?   

[medicgrrl]

You most likely didn't reaffirm your mortgage so they won't report it anymore.

You can try your local CU. I'm with both local and NFCU. I would just ask if they're BK friendly. Mine was but they only report to EQ so I joined Navy.

I would finalize your disputes before applying for any cards...unless Cap1 has something available on the prequal.

What lenders did you include in your BK?

[Anonymous]

"Wow" about the mortgage!  So, the mortgage will no longer help me again EVER?  Didn't know that piece of information

As for lenders Wells Fargo (coincidentally they're my mortgage lender as well), Ford Motor Credit, and Citifinancial 

[medicgrrl]

For credit reporting purposes, no the mortgage won't ever help again. Technically, if you didn't reaffirm, the debt was discharged thru the bankruptcy even though you still pay on it. Some people will refinance after a couple of years just so it reports again...not sure it's worth the cost.

Good news is that you didn't burn many creditor's and should have a good future in regards to rebuilding!

[Anonymous]

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seminole1993 wrote:

I'm glad I found this forum!  I have been reading, but I wanted a few opinions on my current situation.  I'm recently discharged as of May 2017 (yes!) and my current credit scores on Credit Karma are 567 (EQ) and 581 (TU).  I noticed a drop in my EQ score (110pts) while in Ch13 and I have no idea as to why!

I waited until after disharge to replace my vehicle.  I financed $43K (had paid $6K down).  My current interest rate through dealership (with Capital One Auto Fin) is 11.67% which seems a bit high after reading the boards.  How do I rebuild my credit score so that I am able to refi my car loan?  Also, what else can I go do to just rebuild my credit? I have a mortgage that I have paid on time each month during Ch13.  It doesn't seem to be showing, though.  Any suggestions would be greatly appreciated.

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Here are some items to "consider" reading:

If you read nothing at all, at least read the first entry of Scupra's thread: Bankruptcy Friendly Credit Cards Pt.2

There endless people who post on this site and cry about being denied, suffer an unnecessary HP, and all they had to do was get a clue by reading Scupra's first post on what various Vendors are known to do.

Best Wishes!!!

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

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/m-p...

The Best (and Worst) Secured Credit Cards according to Beverly Harzog' opinion
http://www.beverlyharzog.com/the-best-and-worst-secured-credit-cards/

Official Credit Unions Guide
http://ficoforums.myfico.com/t5/Credit-Card-Applications/Official-Credit-Unions-Guide/td-p/4768788

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[medicgrrl]

Did you see the article this week about what Wells Fargo was doing with there mortgage customers that were in BK?

https://mobile.nytimes.com/2017/06/14/business/wells-fargo-loan-mortgage.html?referer=https://www.go...