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Rebuilding after Chapter 7- Questions

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OaimeeO
New Contributor

Rebuilding after Chapter 7- Questions

Just a little history,  After years of reading this forum and building my credit file and score I was able to secure over 40,000 in credit lines, obtain a new leased vehicle and a mortgage. Unfortunately due to my husband becoming laid off from his job, and me out of work for 6 months for an unexpected surgery (and limited savings) we began living on credit cards, not thinking about the long term consequences or changing our spending habits, and how we would repay the debt. Prior to this I was paying off credit cards fairly quickly, had less than 50% usage and perfect payment history over the past 10 years of building. Fakos were all over 700's.  We maxed out the cards by transfering balances from one to the other, just creating a bigger debt ball. We went from $5000 on credit in Aug 2015 to 30,000 in Aug of 2016, and could no longer transfer from one card to the other. We decided in August that filing Chapt 7 would be our best bet because the financial issues in our marriage were really taking a toll on it. We are both back to work, BK 7 was discharged Jan 3rd this year, and I have started following the BK to 700 post. Currently I have the Credit one card $500 limit, and have started building our savings.

In the future I would like to obtain an auto loan since I kept my 2004 durango which is at 200K miles and will need to be replaced. I have read to start banking at a CU to get the most benefit of my banking. Does anyone know any CU in RI that will be my best bet?

I would like to start at DCU but from what I have gathered from this site that will not be an option until at least 2 yrs post BK of good history.

My current FAKO's per credit karma are EQ 628 EX 668. I did survive with a few closed cards still reporting in good status (I closed them prior to filing since they had a 0 balance to try to save the history), and some student loans that have a perfect payment hisory.

If anyone has any other advise to give on how to help improve my score, and chances of getting in with a great CU I'm all ears!

I would also like to search for the best option where to keep my savings since I currently only bank at Citizens and the return is not great.

I am VERY thankful for the info I have learned here, just wish I had planned the savings path sooner.

Message 1 of 6
5 REPLIES 5
Bcunniff9
Regular Contributor

Re: Rebuilding after Chapter 7- Questions

Try Navy Federal, you'll love them. Treat them right, and after a short time they'll treat you even better.

BK7 Filed | 3/25/2016 | EQ: 530 | EX: 526 | TU: 505
BK7 Discharged | 7/11/2016 | EQ: 535 | EX: 574 | TU: 506
Current FICO 8’s 10/28/2017 | EQ: 680 | EX: 680 | TU: 665
Message 2 of 6
Anonymous
Not applicable

Re: Rebuilding after Chapter 7- Questions

Navy is awesome, HOWEVER they seem to have tightened up a bit recently with regard to BK's - it's been a while since I've seen an unsecured approval less than 1yr post-DC.  (mine was right before that trend, and I had to recon)

 

Good Luck!

Message 3 of 6
OaimeeO
New Contributor

Re: Rebuilding after Chapter 7- Questions

Unfortunately I would not qualify for the NFCU membership. Wish I could!

 

Message 4 of 6
Anonymous
Not applicable

Re: Rebuilding after Chapter 7- Questions


@OaimeeO wrote:

Unfortunately I would not qualify for the NFCU membership. Wish I could!

 


You can!

 

http://ficoforums.myfico.com/t5/Bankruptcy/How-to-join-NCFU-and-rebuild-as-a-civilian-the-right-way/...

Message 5 of 6
OaimeeO
New Contributor

Re: Rebuilding after Chapter 7- Questions

Thank you! I will definately look into this, this week!!

 

Message 6 of 6
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