I could use some advise. It's been a long journey for me. After near perfect credit. An ugly divorce eventually left me with no choice other than to file Chapter 13 BK. My house and car was excuded and continued to paid on time (as it always had been.) After five years @ over $1100 per month payments I was done. Oddly, I just got my discharge on Monday. Why it took eight months, no one can tell me. My lawyer was useless. My questions - when do I run my credit report, to find a starting point ? I have been paying my mortgage for seven years (never late.) Is it necessary to get a credit card in order to rebuild my credit ? Does anyone have any other advise ? I would eventually like to refi my mortgage. My husband, who is was party to the BK is not on the mortgage (and has superior credit) and can be added but I know I still have to wait. Any help will be greatly appreciated.
Sadly the only thing you can do is a time thing. Yes to the CC you may have difficulty with the BK but the others will chime in that have dealt with it but definitely two cards probably secured and timely payments continued . Also get credit reports in case anything that was included in BK shows up as 180 late / chargeoff. Hang in there!
I don't know about regular banks, but credit unions seem to be the way to go. Please keep up with your credit reports, some of these peeps can be sneaky!
hang in there.it takes awhile for the neg info to fall off up to 10 yrs for bk i believe. i personally would wait till early feb just to allow time for all the records to update, but i dont see anything wrong with pulling one today to get an idea. in feb instead of paying for the report i would suggest pulling via .annualcreditreport.com if you haven't already used your yearly. the ones you get from there will list the dates the neg info will fall off your reports, the ones you purcahse typically do not have that for some reason. i also would said yes get a credit card, i would suggest starting with a secured card from your bank, just make sure it reports to the at least one of the credit bureaus. if they dont offer it one im sure you can find some good suggestions on here. I will say avoid avoid 1st premier bank offers at all costs! i didn't file for bk but when i started out i had everything but that i think, i had lates, charge offs, collections. i didn't have the money to put up for a secured card, so i fell for 1st premier offer, it comes loaded w/ fees and a very low limt, most of which is used up by the setup, and annual fees, they also charge you a monthly servicing fee! You should expect to pay an annual fee for awhile, and high interest, just try to pay in full everymonth or even before the statement cuts. i am finally coming up on the 7 yrs for most of the stuff to fall off my report and i am finally getting offers w/ no annual fees and reasonable limits- rates are still varrying my lowest rate is 13.99% highest is 22%
I appreciate all the advice. I will pull a credit report next week and start investigating credit cards. I have not intention of buidling up any balance. My situation is not the same as it was, so that danger is not there. I don't buy anything I can not pay for. Most of what was in the BK was the fallout from the divorce - now a distant memory (except for the credit issues.) I am hoping my good mortgage payment record (and car payment, when I had it) will help. Time will tell. Thank you all again
You can try Capital One, it see's what it can offer you with out pulling a credit report. I have low scores and I was approved going that rought then finished up and they pulled credit report but I got a 500.00 Credit limit. Not much but its not secured.
Thanks for the Capitol One tip. I hear that once the discharge is processed I will get loads of offers CC in the mail LOL. I don't need much of credit line, since I am only going to use it to establish credit (grocery store, small purchases etc and pay off at the end of the month.) My ultimate goal is to evenually refi the house (adding on the hubby.) I know I'll have to wait at least two years.