topic Re: Chapter 13 in Bankruptcy

Chapter 13

Anonymous — Fri, 08 Jan 2016 04:38:52 GMT

I have filed for chapter 13 bankruptcy and curious as to how do i begin rebuilding credit? does that begin once the plan is discharged? Do i need to do anything with my credit reports? personal statement?

i lost my job over a year ago and maintained everything the best I could. mainly medical debt, medical device payments, high interest car loan (not a fancy car/just got jipped on the interest rate), and a couple of credit cards.... i've tried to get ahead of it before it got ahold of me, if that makes sense. Now that i have the debts wrapped in the Chapter 13 - protected my high interest vehicle...that i don't want...how do i move forward? any advice is welcomed

Re: Chapter 13

Anonymous — Fri, 08 Jan 2016 13:43:10 GMT

You won't be able to do much rebuilding until your plan ends and you are discharged. In my case, that was 5 years of patience. Working on your CR's any time other than just prior to or upon discharge would be irrelevant since in most cases you are not allowed to acquire any new credit or debt while your case is open anyway.

That being said, trustees may allow some new debt like a car loan during your BK. I've read posts here where some trustees have allowed a secured CC during BK. But this all depends on your trustee. You would need trustee approval. Failure to get approval could result in dismissal of your case.

Re: Chapter 13

Anonymous — Fri, 08 Jan 2016 14:02:21 GMT

The things that I did while paying my CH13 was to get the trustee's permission to get a car loan and to use a rent to own company to get furniture for my house (the things I got were a modest couch, bed, etc). Yes, you way over pay for things at the rent to own places, but they report on your credit report, but it helps. I'm just days away from my discharge and my credit score were horrible when I file, but now they are EQ-657, TU-612, EX-709, Fico 8 - 604. Good luck!

Re: Chapter 13

Anonymous — Fri, 08 Jan 2016 15:46:12 GMT

Thanks! Yeah my biggest thing is getting into a home! Rent is ridiculous my place is super small but my rent tag is not! I will request my scores now that I've filed so I can see any improvement over the course of the repayment plan!

Re: Chapter 13

Anonymous — Sat, 09 Jan 2016 18:52:12 GMT

Good luck with your repayment plan. Use this time to work on a plan to rebuild with an idea toward buying a place of your own. Don't be too rushed, but make your plans. Good luck!

Re: Chapter 13

Anonymous — Mon, 18 Jan 2016 02:46:45 GMT

Thanks all! I appreciate the support. this is definitely a bumpy road.

Re: Chapter 13

Anonymous — Fri, 22 Jan 2016 15:21:16 GMT

@Anonymous wrote:
Good luck with your repayment plan. Use this time to work on a plan to rebuild with an idea toward buying a place of your own. Don't be too rushed, but make your plans. Good luck!

I agree. Use this time to learn and plan. You will not be disappointed and it is worth the wait. Good luck to you!

Re: Chapter 13

Anonymous — Fri, 22 Jan 2016 16:08:40 GMT

Thanks!! Everyone is encouraging me to convert to a chapter 7 and the 13 is a waste of money but I disagree. I did a 5 year to allow me to save aggressively and I increase my salary and work on my future plans. I'm more concerned with my score staying stagnant. I have my meeting with the creditors soon...any words of advice??

Re: Chapter 13

hoang817 — Sat, 23 Jan 2016 22:43:51 GMT

they said meeting with the creditors but iam sure you're not going to meet any one we are in the same boat and same chap 13 ... good luck to you and good luck to me too

Re: Chapter 13

Anonymous — Sun, 24 Jan 2016 01:09:26 GMT

Yes best of luck to the both of us! I checked my scores for the first time today and it took a 83 point dive but it it's only temporary right?! 😵😡