topic Re: Discover Secured Odds with Bankruptcy? in Credit Cards

Discover Secured Odds with Bankruptcy?

Anonymous — Sun, 14 Feb 2016 22:51:10 GMT

Hey everyone,
I've been really wanting a Discover card since my bankruptcy almost 2 years ago. I've applied twice, once about a month ago and once about a year ago. I was denied both due to bankruptcy. I saw that they are allowing direct applications to the secured card now and have been contemplating it. Does anyone know if they will think about accepting me with a bankruptcy? I have never had a secured card, I also did not burn them in bankruptcy. I've never had a Discover. Seems very odd that they would deny someone with a bankruptcy on a secured card. It's not even a partial secured, it's a full secured card. It seems like they would want people who are trying to rebuild, but I guess not everybody. Definitely seems like one of the harder secured cards to get. I've seen people get denied for the secured card with a bankruptcy, but they had a little bit lower scores than mine. My Equifax score is 675. What do you guys think? The last thing I want to do is waste another hard pull. Thanks guys :-)

Re: Discover Secured Odds with Bankruptcy?

CH-7-Mission-Accomplished — Mon, 15 Feb 2016 00:01:58 GMT

@Anonymous wrote:
Hey everyone,
I've been really wanting a Discover card since my bankruptcy almost 2 years ago. I've applied twice, once about a month ago and once about a year ago. I was denied both due to bankruptcy. I saw that they are allowing direct applications to the secured card now and have been contemplating it. Does anyone know if they will think about accepting me with a bankruptcy? I have never had a secured card, I also did not burn them in bankruptcy. I've never had a Discover. Seems very odd that they would deny someone with a bankruptcy on a secured card. It's not even a partial secured, it's a full secured card. It seems like they would want people who are trying to rebuild, but I guess not everybody. Definitely seems like one of the harder secured cards to get. I've seen people get denied for the secured card with a bankruptcy, but they had a little bit lower scores than mine. My Equifax score is 675. What do you guys think? The last thing I want to do is waste another hard pull. Thanks guys :-)

I can't comment on the secured card aside from what I have read on here.

However, I just got in with Discover a week after my two year BK discharge anniversary. I had previously been denied twice before, once at 12 months and once at 18 months. My Equifax score was 688.

I am getting the feeling that Discover is a lot like Cap 1 used to be with their secured card in that if you could get approved for the secured card you could have gotten an unsecured one. Lots of people were decined for the Cap 1 secured card.

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Mon, 15 Feb 2016 00:02:06 GMT

While credit score does have an impact, it's not nearly as critical as credit health. How has your payment history been since your BK? Have you opened a bunch of new accounts or been very reserved and selective? Have you tried recon'ing one of your denied apps? Those are the things I'd look into first. I was approved for the Discover it secured about 2 months ago with a 4-month post discharged BK at the time. It's possible.

Re: Discover Secured Odds with Bankruptcy?

sjt — Mon, 15 Feb 2016 02:29:33 GMT

@Anonymous wrote:
Hey everyone,
I've been really wanting a Discover card since my bankruptcy almost 2 years ago. I've applied twice, once about a month ago and once about a year ago. I was denied both due to bankruptcy. I saw that they are allowing direct applications to the secured card now and have been contemplating it. Does anyone know if they will think about accepting me with a bankruptcy? I have never had a secured card, I also did not burn them in bankruptcy. I've never had a Discover. Seems very odd that they would deny someone with a bankruptcy on a secured card. It's not even a partial secured, it's a full secured card. It seems like they would want people who are trying to rebuild, but I guess not everybody. Definitely seems like one of the harder secured cards to get. I've seen people get denied for the secured card with a bankruptcy, but they had a little bit lower scores than mine. My Equifax score is 675. What do you guys think? The last thing I want to do is waste another hard pull. Thanks guys :-)

Some posted that they were denied the secured card becasue their BK was under two years. So I would wait until you BK is two years post discharge date.

Re: Discover Secured Odds with Bankruptcy?

lindsaydruart — Mon, 15 Feb 2016 05:37:45 GMT

If you are under 2 years on the BK, don't risk the HP and they won't recon. Wait it out. You won't get approved right now.

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Mon, 15 Feb 2016 05:57:44 GMT

your statement is quite contradictory to what geemillz22 posted and they experienced it... not heard it. if you read a post of someone successfully doing something and you say "you can't" then you're either not reading the posts or you're purposely giving false info

Re: Discover Secured Odds with Bankruptcy?

lindsaydruart — Mon, 15 Feb 2016 06:00:49 GMT

The old system, yes, you would be correct. However, you must not be reading the forums since the recent change in which a plethora of people with BKs are being declined and the reason given was it being under 2 years. I would be more than happy to link you to at least 5 threads with people having BKs under 2 years being declined. You must remember that they changed their criteria 2 weeks ago.

Re: Discover Secured Odds with Bankruptcy?

sjt — Mon, 15 Feb 2016 06:05:32 GMT

@Anonymous wrote:
your statement is quite contradictory to what geemillz22 posted and they experienced it... not heard it. if you read a post of someone successfully doing something and you say "you can't" then you're either not reading the posts or you're purposely giving false info

My post was based on a member post that stated they were declined because their bk was under 2 years.

Re: Discover Secured Odds with Bankruptcy?

lindsaydruart — Mon, 15 Feb 2016 06:11:09 GMT

@sjt wrote:
@Anonymous wrote:
your statement is quite contradictory to what geemillz22 posted and they experienced it... not heard it. if you read a post of someone successfully doing something and you say "you can't" then you're either not reading the posts or you're purposely giving false info
My post was based on a member post that stated they were declined because their bk was under 2 years.

This is my understanding as well especially since I know for a fact the criteria changed because I was initially declined and then approved on a second app less than a week later with the same exact credit. 2011XTERROR, Just because someone was able to get it with a BK last year doesn't mean that's true now.

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Mon, 15 Feb 2016 06:13:18 GMT

well i didn't see anything about rule changes but a lot of denial reasons where i work is not enough established payment history since BK. not necessarily just the BK itself.

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Mon, 15 Feb 2016 07:08:20 GMT

I'd say that's a no go with Discover. They don't like derog and BK from what I see but I might be wrong. Good luck if you're going to apply!

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Mon, 15 Feb 2016 14:40:19 GMT

I guess I'm an anomaly? I did get approved for the secured. 4 months post BK. Applied for the Discover it Miles THIS YEAR and while I was declined, they DID perform a recon for me. Not only that, but the underwriter acknowledged my BK. He said although they want to see just a bit more payment history, I'm doing everything correctly to be on the right track. Told me to reapply in a couple months. That's a far cry from 2 years. Obviously YMMV, but it is very possible to get approved. Especially now that you can cold app the secure card rather than gambling for a counter offer like I had to back then.

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Mon, 15 Feb 2016 15:46:27 GMT

Two months post chapter 7 discharge I applied for the Discover IT. I was denied, but offered the secured, which I took. Two months later, with a 670 FICO, I was denied for an Amazon Store Card due to bankruptcy.

So, it seems YMMV.

Re: Discover Secured Odds with Bankruptcy?

lindsaydruart — Mon, 15 Feb 2016 16:10:48 GMT

The criteria changed 2 weeks ago......if you got in with the counter offer that's one thing but the direct apply app is a no go on BKs.

Re: Discover Secured Odds with Bankruptcy?

sjt — Mon, 15 Feb 2016 17:57:54 GMT

http://ficoforums.myfico.com/t5/Rebuilding-Your-Credit/Discovers-Secured-Card/m-p/4455093#M468916

Above is a link to a thread about a poster not getting approved for the secured Discover Card becasue their BK was less then two years from discharge date.

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Mon, 15 Feb 2016 19:07:16 GMT

Thanks everyone for the info. I also have heard of several people being denied post-bankruptcy. I think I will definitely wait it out, I'm not risking another hard pull. Also is this new rule about the two years only for the secured card? Or Discover in general?

And to answer the questions my file is clean. No derogatory or lates after bankruptcy. I also recently had every negative item deleted from both Experian and TransUnion, still working on Equifax. The only thing that I have is bankruptcy. I have 4 Capital One cards- One Venture, One Venture One, 2 Quicksilver's. I have the Barclay rewards cards, Walmart store card, Amazon store card, WSECU credit card. No late. I also have 2 current, open auto loans.

Re: Discover Secured Odds with Bankruptcy?

lindsaydruart — Mon, 15 Feb 2016 19:22:29 GMT

Yes the 2 year BK is new stipulation

Re: Discover Secured Odds with Bankruptcy?

Anonymous — Tue, 16 Feb 2016 02:21:22 GMT

I got in through a counter offer in November, 2015.

Re: Discover Secured Odds with Bankruptcy?

jason0618 — Wed, 07 Dec 2016 23:04:28 GMT

Old post, but it seems they've changed their rules again. I applied for discover secured in October. Two months post bk7 discharge. Got approved and have used the card frequently.

Re: Discover Secured Odds with Bankruptcy?

sjt — Thu, 08 Dec 2016 19:34:17 GMT

@jason0618 wrote:
Old post, but it seems they've changed their rules again. I applied for discover secured in October. Two months post bk7 discharge. Got approved and have used the card frequently.

Congrats and thanks for the update.

Was Discover ever IIB?