topic Re: Getting ready to file Ch 7 in Bankruptcy

Getting ready to file Ch 7

amclaughlin42 — Mon, 15 Jan 2024 18:31:11 GMT

My wife and I will be filing chapter 7 this week. I've seen some people are starting rebuilding soon after filing and not waiting until discharge why is this? Hoping to get my wife a car after bankruptcy and I want to start rebuilding ASAP we want to buy a house as soon as we're able to. So I really want to focus on my fresh start we've already restructured our finances and it's been working well.

Well have burned

NFCU

Chase

Capital One

Credit One

Avant

Mariner Finance

who would give us a chance after bankruptcy? Estimated discharge in May

I had discover in there too but it's account that's pretty old that had been closed and paid off but still reporting. So I'm hoping they will be an option.

Re: Getting ready to file Ch 7

Lurker22 — Mon, 15 Jan 2024 22:32:37 GMT

@amclaughlin42 wrote:
My wife and I will be filing chapter 7 this week. I've seen some people are starting rebuilding soon after filing and not waiting until discharge why is this? Hoping to get my wife a car after bankruptcy and I want to start rebuilding ASAP we want to buy a house as soon as we're able to. So I really want to focus on my fresh start we've already restructured our finances and it's been working well.

Well have burned
NFCU
Chase
Capital One
Credit One
Avant
Mariner Finance

who would give us a chance after bankruptcy? Estimated discharge in May

I had discover in there too but it's account that's pretty old that had been closed and paid off but still reporting. So I'm hoping they will be an option.

From my personal experience with my 13, Chase is a NoGo

From what I've seen here

NFCU will not close your deposit accounts but they will not grant any credit until you've voluntarily made up their loss

CO will let you back in very quickly

Disco is easy to get in with after discharge as well

I'm sure others will chime in with additional information

Re: Getting ready to file Ch 7

Creditwiser — Tue, 16 Jan 2024 01:42:12 GMT

As Lurker22 said above , and........ I filed BK7 10 years ago and I believe my quick rebuild was largely due to NFCU and Cap1. If its anyway possible to pay Navy back, I would. That said, Cap1 and Disco. Disco especially since you didnt burn them. Be careful with your HP's after DC. Use the prequals for Disco, Cap1. I would consider joining another CU as well since if you dont make Navy whole, they wont grant you credit. You may have to go the Secured route at first and just do your time. Get a year of on time payments behind you and go from there. Again, watch the hard pulls. It can be tempting after DC. Also, search the BK7 To 700 in 2 years thread. Lots of good info. Some of it a bit dated at this point but the practice remains. Read it. Good luck with your rebuild. As a regular contributor, you certainly know you're in the right place.

Re: Getting ready to file Ch 7

MileHigh96 — Tue, 16 Jan 2024 18:11:25 GMT

@Lurker22 wrote:
From my personal experience with my 13, Chase is a NoGo

From what I've seen here
NFCU will not close your deposit accounts but they will not grant any credit until you've voluntarily made up their loss
CO will let you back in very quickly
Disco is easy to get in with after discharge as well

I'm sure others will chime in with additional information

Haha not for me! I'm 2-1/2 years post discharge and I burned them for less than $1K in my BK7 and every now and again I check the prequal page and I still get the past relationship response from them as to why they can't qualify me for a card.

Re: Getting ready to file Ch 7

Horseshoez — Tue, 16 Jan 2024 18:26:28 GMT

@MileHigh96 wrote:
@Lurker22 wrote:
From my personal experience with my 13, Chase is a NoGo

From what I've seen here
NFCU will not close your deposit accounts but they will not grant any credit until you've voluntarily made up their loss
CO will let you back in very quickly
Disco is easy to get in with after discharge as well

I'm sure others will chime in with additional information

Haha not for me! I'm 2-1/2 years post discharge and I burned them for less than $1K in my BK7 and every now and again I check the prequal page and I still get the past relationship response from them as to why they can't qualify me for a card.

LOL, I didn't even burn them, hell, I've never had a Discover card before, so I was quite ticked off when they sent me a preapproval in the mail, and when I applied, they both denied my application and also hit me with a Hard Pull.

Re: Getting ready to file Ch 7

amclaughlin42 — Wed, 17 Jan 2024 19:40:42 GMT

Why are some people rebuilding prior to DC but after filing? Im so confused about that. I will not do anything with my credit until my lawyer gives me the green light. The paralegal has our paperwok and is going from there.

Is there a reccomended credit union to go to? I owe NFCU $6500 I have no way to repay that anytime soon. But I still have my auto loan with them, not in my BK7. I do have a late payment with them, but its one 30 day late. Rest are on time payments.

Ive tried with discover before, and I really want to go with them, but I was still paying down the closed account at the time, so maybe now they would give me another chance since its been about 18 months since they were PIF.

I hope to get in with CO but Ive burned 3 accounts and my wife had one as well, and this isnt the first time thats happened, first time in BK but ive past accounts in collections. So Hopefully theyll give me a third oppurtunity.

Does anyone do Citi Secured or BoA secured?

Re: Getting ready to file Ch 7

Horseshoez — Wed, 17 Jan 2024 19:59:13 GMT

@amclaughlin42 wrote:

Does anyone do Citi Secured or BoA secured?

I tried both after my Chapter 13 was discharged, both denied me, I appealed, and got denied again. Adding insult to injury, both also hit me with hard pulls.

Re: Getting ready to file Ch 7

Generalsifr1981 — Sun, 21 Jan 2024 01:08:29 GMT

I got Capital one after discharge. I think it was $500 and they increase it on timely payment without you even asking. I do not know if they still got that. Yes, I got capital one include them in BK and they actually sue me for $3k. But they were the first to offer me a card and was glad not to use secure card. Also I did have bank secure card before BK and I did not included in BK. It did survive BK without any notation that it was included in BK on my credit report. Maybe that is why Capital one gave me unsecured after a discharge. When I say after I mean the same month I was discharged. The bank I got Secured card start with B and it now start with a T after merger. issue is that what work then might not work now. Most bank will notice if you filed BK and will closed your credit account. Mind was not closed maybe because it was Secure. Anyway.

So I will leave it that way.

Re: Getting ready to file Ch 7

Horseshoez — Sat, 20 Jan 2024 20:54:23 GMT

Oy, here we go again.

Re: Getting ready to file Ch 7

amclaughlin42 — Thu, 08 Feb 2024 03:46:48 GMT

We are still waiting to file, we have been told for weeks we would be next in line for paralegal to reveiw our case, they finally got back to us yesterday. We handed in all additional doccuments and credit reports right away.

They told us we would have to wait 90 days after filing to begin rebuilding which is when cases for this particular lawyer are discharged and some people I see here are rebuilding before discharging.

Is there any glimmer of hope to get an auto under 9% after chapter 7. 105K in salary, $6k down. Looking for 20K car so financiing $14k. It seems auto dealers dont want to sell used cars anymore and only want to sell new cars.

I was hoping we wouldve been able to file by now, and start rebuilding soon, but its going be awhile longer, theyre dragging their feet

Re: Getting ready to file Ch 7

Horseshoez — Thu, 08 Feb 2024 04:12:47 GMT

Hang in there, different regions treat you differently when it comes to rebuilding. I filed a Chapter 13 and was prohibited to have even a secured card until my discharge came through, others get a secured card a week after their plan is confirmed.

Regarding a car, you might be better off joining a credit union after your discharge, but not before you give them your story and see if they are bankruptcy friendly, some are, some are not. My wife and I were long time members of a local credit union, and even after years of never once having an issue with them, they refused to approve her for a car loan more than two years after her Chapter 7 discharge (I was no help as I was in the midst of my Chapter 13); we drove less than a mile down the street and got approved by another credit union. Go figure.

Re: Getting ready to file Ch 7

MileHigh96 — Thu, 08 Feb 2024 12:45:43 GMT

@amclaughlin42 wrote:
We are still waiting to file, we have been told for weeks we would be next in line for paralegal to reveiw our case, they finally got back to us yesterday. We handed in all additional doccuments and credit reports right away.

They told us we would have to wait 90 days after filing to begin rebuilding which is when cases for this particular lawyer are discharged and some people I see here are rebuilding before discharging.

Is there any glimmer of hope to get an auto under 9% after chapter 7. 105K in salary, $6k down. Looking for 20K car so financiing $14k. It seems auto dealers dont want to sell used cars anymore and only want to sell new cars.

I was hoping we wouldve been able to file by now, and start rebuilding soon, but its going be awhile longer, theyre dragging their feet

As was mentioned, your best bet is with a Credit Union over a bank for the auto finance. Granted, my case is different because I already had my truck financed with them and I reaffirmed my loan with them, but the CU I have my truck with actually LOWERED my interest rate when the sent over the reaffirmation paperwork to my lawyer for me to sign. It was only a .25% reduction, but still. My current rate with them is 4.24% and of course this was before the massive inflation hit and the interest rate hikes, but you have a MUCH better chance to get a good rate with a CU than you would from a bank.