Newly filed Bankruptcy now what ??

[RockHaven]

On Aug 24th I bit the bullet and officially filed for chapter 7, just recieved notice that my meeting with the trustee is on Sept 30th. I'm nervous I feel like despite what I have read I'm not going to be ready for the meeting. Usually how long after the meeting can I expect the discharge to occur ? And when should I apply for a secured card and which one is really the best to apply for? Are there any unsecured cards I can apply for and have a chance at being approved , if so which company do I go with. Just so ready to start rebuilding and getting my credit back on track.

[Anonymous]

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@RockHaven wrote:

On Aug 24th I bit the bullet and officially filed for chapter 7, just recieved notice that my meeting with the trustee is on Sept 30th. I'm nervous I feel like despite what I have read I'm not going to be ready for the meeting. Usually how long after the meeting can I expect the discharge to occur ? And when should I apply for a secured card and which one is really the best to apply for? Are there any unsecured cards I can apply for and have a chance at being approved , if so which company do I go with. Just so ready to start rebuilding and getting my credit back on track.

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Discharge should occur roughly 3 months from your 341 meeting. It's not a big deal. Mostly just yes/no questions. You'll be there in a room full of people that are in the same boat as you. Don't forget your ID and original Social Security card. Ask your attorney whatever else you need to do to prepare and you'll be fine.

Before applying for credit, WAIT for your discharge, then pull your credit reports and dispute/resolve anything that is incorrect. Capital One is a good bet for an unsecured right out of BK providing you're not burning them. You may need to go the secured route or go for sub prime cards like CreditOne otherwise. (Yes, CreditOne is terrible and riddled with fees and many folks here advise against them, but for me personally it can be a good bet if used carefully and wisely to start a rebuild.) Merrick Bank has a decent unsecured card, but you have to receive an offer for it. (Mine came 2 months post d/c.)

Read this entire thread: The main plan is in the first page, but it's a few years old and you'll find updated information in the subsequent posts as well as some minor tweaks that have worked well for others.

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

Good luck and welcome to the forums.

[TRC_WA]

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@RockHaven wrote:

 Just so ready to start rebuilding and getting my credit back on track.

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Wait till you are discharged.

Jumping the gun and applying before discharge can lead to trouble with the trustee... if the lenders you apply with even overlook the fact you'd have a non-discharged bankruptcy on your reports which isn't likely.

[bstone]

You've already received good advice from the other two, however I'll add I wouldn't be set on a secured card as the only option.  My wife and I both burned Capital One and both received two unsecured cards within a few weeks after discharge.  All four cards started at $500 limits, but one of mine just auto CLI'd to $2500, and we're only six months post discharge.

You may have to go secured, but I would look at unsecured options first.  Capital One seems very BK friendly and forgiving if you burned them, Navy Federal CU is great if you qualify, Credit One approves anyone with a pulse, but that card is one you cancel about 11 months after getting it to avoid fees.  Read the BK to 700 thread, I think that will give you all the information you really need to rebuild.

Good luck, and there is life after BK.  Just learn from this experience.  And remember, your rebuild is going to take a few years, it's not going to happen overnight and you are going to get denied for things other people were approved for, just take it in stride and in a year you'll look back and realize how great your credit is compared to what it was.

[Anonymous]

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@bstone wrote:

You've already received good advice from the other two, however I'll add I wouldn't be set on a secured card as the only option.  My wife and I both burned Capital One and both received two unsecured cards within a few weeks after discharge.  All four cards started at $500 limits, but one of mine just auto CLI'd to $2500, and we're only six months post discharge.

You may have to go secured, but I would look at unsecured options first.  Capital One seems very BK friendly and forgiving if you burned them, Navy Federal CU is great if you qualify, Credit One approves anyone with a pulse, but that card is one you cancel about 11 months after getting it to avoid fees.  Read the BK to 700 thread, I think that will give you all the information you really need to rebuild.

Good luck, and there is life after BK.  Just learn from this experience.  And remember, your rebuild is going to take a few years, it's not going to happen overnight and you are going to get denied for things other people were approved for, just take it in stride and in a year you'll look back and realize how great your credit is compared to what it was.

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I think it must depend on the amount owed to CapOne included in the BK. I've read about a lot of folks getting approved like you did, but they auto-deny me even 5 months post dc. It was a baaaaaad burn.

[Anonymous]

Waiting till you are discharged and have cleaned up your reports a little is the best thing to do.  I did not wait, I am inpatient, I prequaled for credit one and took it before discharge.  I then prequaled for Cap1 and took 2 cards day of discharge, with <500 scores got 2 $300 unsecured lines and I burned them in the BK.  If I would have waited a few weeks and my scores were 530's or so i bet my SL's would have been higher based on what Ive read and seen.  I then got a NFCU card which makes 4 unsecured cards.  I didnt need the credit one card and the high $75 AF.  

But oh well... Im still on the right road!

Good luck, it will happen and fall in to place.  I have made my fingers bleed biting my nails a bit though throughout the BK process and now rebuilding of my credit.

Keep us updated on your progress!

[ashjt2011]

I will second this. Right after my discharge hit which was 3 months after my 341 meeting - my score jumped to the mid 500's from 420 (when it was in bankruptcy), I applied for the a Capital One card and was approved right away for 500. A month later I applied for a second Quicksilver and was approved for 750. Almost 2 years later one is at a 2200 dollar limit and one is at 5500.  So don't necessarily go right to secured unless Capital One doesn't approve you. Use their Pre-approval tool and you'll get some pretty accurate answers right away.

[Anonymous]

I went the secured route before I found this forum. It was a few months after discharge and I got the OpenSky card. I liked that fact that they didn't pull a credit report so I would be approved regardless. They report quickly as well. Minimum of $200 deposit and only a $29 annual fee.

As the others have said, wait until your discharge. Enjoy the lack of bills for a couple of months and be patient. It is a long road to recovery, but it is definitely worth it. Set some reasonable goals. Think through them, make them make sense and make them visible.

Some of the banks you burned in your BK may not let you back in. I'm blacklisted with Barclay's for sure and I'm sure with Discover and AmEx. We burned Cap1 in ours, but they let us back in a few months after discharge and now I have 4 cards (still waiting on 2 to be delivered) and my wife has 3 cards (still waiting on her Venture).

During this waiting time, it is just time to breathe. Good luck with your road to recovery!

[scorpiyo]

I just recently received my discharge and I filed my BK pro se (on my own with no attorney) and I survived.  Thank goodness.  The 341 meeting is actually very fast and to the point.  You sit there with the trustee they ask you about your finances what brought you to the point where you are now and they do go through your bank statements and history to make sure you are not trying to hide any assets or anything.  The whole process took me all of 10 minutes with the trustee.  If their are no issues found usually you get your discharge about 60 days after the meeting of creditors.

Good luck!

[coldfire409]

I just had my 341 meeting on September 3, and on that day I was approved for a capital one platinum card with a $300 limit unsecured. I included capital one in my bankruptcy, so they are very bankruptcy friendly. I plan on using that card for just netflix for now since I will pay that off every month. As far as the meeting mine was only 5 minutes, but the person before me had to have theirs continued because the trustee felt that something wasn't accurte in their schedules. Discharge usually occours within 2 months of the 341 meeting.