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BK7 Discharge Imminent - I can't decide which path/card is right?

CH-7-Rebuilding
Valued Contributor

Re: BK7 Discharge Imminent - I can't decide which path/card is right?


@Horseshoez wrote:

@CH-7-Rebuilding wrote:

What amazes me is that my current EQ FICO 9 sits at 842 with my BK 7 reporting for 2.5 more years.    My FICO 8's are 767, 775 and 776.   Sadly my 5/4/2 mortgage scores are 724, 725 and 744.   


Interesting, your 5/4/2 numbers are very similar to mine, 711, 739, 724, but wow, all your other numbers are waaaay above mine; your FICO 8s are easily 100 above mine.  I'm so looking forward to when my Chapter 13 drops off my reports next January.  Smiley Happy


I just went back and pulled my MyFICO scores from 5/15/2020 and 9/15/2020.   Over that timeframe the IIB's fell off.   One thing I would point out is that EX never let me go above 699 until the last IIB fell off.   Weird, huh?    Also note the huge plunge in my TU mortgage score after the IIB's fell off, so clearly TU did not like the loss of all the old accounts.   The others not so much:

5/15/2020

FICO 8's
EQ - 715
TU - 688
EX - 698
 
Mortgages (5/4/2)
EQ - 732
TU - 772
EX - 745
 
FICO 9's
EQ 785
TU 764
EX 767
 
**********************************
9/15/2020
FICO 8's
EQ 752
TU 766
EX 753
 
Mortgages 5/4/2
EQ 724
TU 744
EX 725
 
FICO 9's
EQ 826
TU 840
EX 801

****************************************
Current scores 5/5/2021 --  I opened a new SSL with Navy and paid down 30K to $50.00.   No inquiries or other accounts in prior two years
FICO 8's
EQ 776
TU 767
EX 775
 
Mortgages 5/4/2
EQ 724
TU 744
EX 725
 
FICO 9's
EQ 841
TU 812
EX 797
Message 21 of 34
99BMWM3
Member

Re: BK7 Discharge Imminent - I can't decide which path/card is right?

So, I got my credit reports cleaned up and the pre-approvals started rolling in. As mentioned earlier, I was pre-approved for the CapOne Platinum. I decided on a whim to app for that at the end of May as I liked the possibility of getting a unsecured card versus starting with a secured one. I was requested to send in DL and SSN proofs for verification [I have a request on all reports for banks to verify apps] and I did... two weeks ago. Heard nothing back, have called a few times and been told "3 more days" every time.

 

Fast forward to today - I got a pre-approved mailer from Discover, so I decided to check their pre-qualifier to see if it was legit. I was pre-qual'd for the student cards... I apped for it today and was instant approved for a $500 SL, I think there's even a 0% intro APR for 9 months IIRC.

 

I just got an email from CapOne... approved with a $3000 SL,. No, that is not a typo. No, I can't believe it either. I'm almost uncomfortable with my SL being that high, hahah! Didn't expect to end up with two cards this quickly, but I am definitely done for quite awhile. Will be staying under 10% CL each month, PIF when statement cuts, all those best practices.

 

I do have two questions though:

1.) I am taking a road trip at the end of June to go visit a friend in the new city I'm moving to, my total expenses will be around $1300. I have the cash saved up for my trip... would it be of any benefit for me to charge all the expenses to my CapOne card and PIF when statement cuts? Or just stick to the >10% rule?

2.) Do I need to do a Share Secured Loan or anything like that given my current mix of loans? I have an active auto loan with JPMChase, a previous PenFed loan, and some student loans that are deferred.

 

EDIT: Just wanted to add some data points.

CapOne: $3000 SL, $0 AF, 0% APR until April 6, 2022 (26.99% thereafter)

DFS: $500 SL, $0 AF, 0% APR until September 9, 2022 (21.99% thereafter)

Message 22 of 34
Horseshoez
Established Contributor

Re: BK7 Discharge Imminent - I can't decide which path/card is right?

@99BMWM3, first off, congratulations on the new cards.

 

Regarding your trip, in your shoes I'd put the full amount on your cards and then pay them in full (or very nearly so) just before the due date.  Doing this, will let your lenders see you using the cards, but will also allow you low utilization numbers on your reports.

 

Regarding your mix of credit; around here the general concensus is, you need three revolvers (i.e. credit cards), so you need one more there, and one loan.  If you have student loans and/or a car loan, you've got the loan base covered, if not, opening an SSL would be a good idea.  

I categorically refuse to do AZEO!

Message 23 of 34
99BMWM3
Member

Re: BK7 Discharge Imminent - I can't decide which path/card is right?

I do need to get a third card at some point... I realized last night I can't use any of my shiny new cards at Costco because they aren't VISA! Being able to use a card for gas or medicine at Costco was what I planned my small purchases each month to be. 

 

SDFCU denied me for membership online - I encountered that weird issue others have had with the "risk matrix" and they want me to apply in-person at a branch in DC. I'll probably have time to do that in July. 

 

I was going to to put $500 in a savings account and get a secured card from them since it auto-graduates and has no HP, but I'm wondering if I shouldn't just apply for unsecured since I've gotten 2 unsecured cards with no issues? SDFCU is extremely conservative, though... So I think I'd rather not risk a decline from them. 

 

Is Alliant BK-friendly? I have a fairly significant amount of money in savings with them right now, if they take that into consideration at all. 

Message 24 of 34
Horseshoez
Established Contributor

Re: BK7 Discharge Imminent - I can't decide which path/card is right?


@99BMWM3 wrote:

I do need to get a third card at some point... I realized last night I can't use any of my shiny new cards at Costco because they aren't VISA! Being able to use a card for gas or medicine at Costco was what I planned my small purchases each month to be. 

 

SDFCU denied me for membership online - I encountered that weird issue others have had with the "risk matrix" and they want me to apply in-person at a branch in DC. I'll probably have time to do that in July. 

 

I was going to to put $500 in a savings account and get a secured card from them since it auto-graduates and has no HP, but I'm wondering if I shouldn't just apply for unsecured since I've gotten 2 unsecured cards with no issues? SDFCU is extremely conservative, though... So I think I'd rather not risk a decline from them. 

 

Is Alliant BK-friendly? I have a fairly significant amount of money in savings with them right now, if they take that into consideration at all. 


I've found PenFed to be BK friendly; I have a savings account, a credit card, and an SSL with them.  As a suggestion, put the $500 (plus an additional $5.00 for a membership fee) into a savings account and let it age for 30 days.  Then call them up and open an SSL against that money (no credit check for this), and then apply for one of their credit cards; if I am not mistaken, all PenFed cards are Visa.

I categorically refuse to do AZEO!

Message 25 of 34
99BMWM3
Member

Re: BK7 Discharge Imminent - I can't decide which path/card is right?

PenFed did seem friendly to me last year pre-BK... I applied for 2 different auto loans in 30 days (was debating buying a different car -- glad I didn't!) and they were the only place asides from CapOne AutoNavigator I was instant approved with. Not even NFCU would help me and I had $40k in CCs extended to me from them. 

 

When you say open an SSL against the $500 and then apply for a credit card, are you saying to app for the credit card immediately after getting the SSL? Or should I let there be a rest period between?

Message 26 of 34
Horseshoez
Established Contributor

Re: BK7 Discharge Imminent - I can't decide which path/card is right?


@99BMWM3 wrote:

PenFed did seem friendly to me last year pre-BK... I applied for 2 different auto loans in 30 days (was debating buying a different car -- glad I didn't!) and they were the only place asides from CapOne AutoNavigator I was instant approved with. Not even NFCU would help me and I had $40k in CCs extended to me from them. 

 

When you say open an SSL against the $500 and then apply for a credit card, are you saying to app for the credit card immediately after getting the SSL? Or should I let there be a rest period between?


Honestly, I'm not sure which is the best order.  In my case, I deposited my SSL money, applied for a credit card a few days later, and then opened the SSL after the 30-day aging period for the deposit money.  Which is the best plan?  No clue.  Sorry about that.

I categorically refuse to do AZEO!

Message 27 of 34
99BMWM3
Member

Re: BK7 Discharge Imminent - I can't decide which path/card is right?

I called PenFed to ask about a secured card -- I realise I may not need to go that route considering I was approved for 2 unsecured cards in one day alone this week, but I am really squeamish about HPs when it comes to my rebuild -- I still have HPs from 2019/2020 when I was app-happy on my reports. I don't want a 3rd card, but I do realise that 3 seems to be the magic number in rebuilding -- and I really would like a VISA card in my wallet for Costco trips.

 

TU: 2 HPs (1 disappears in October, the other is CapOne from a few weeks ago)

EQ: 9 HPs (1 is CapOne, 1 is CitizensOne for my old iPhone purchase, and the remaining 7 are from PenFed, NFCU, and a local CU from when I was shopping for auto loans -- 3 pulls on one date in July, 4 from a week in August [annoyingly, PenFed did 3 HPs in 3 days??]

EX: 4 HPs (Disco + CapOne just now, USAA last July [auto loan shopping], and Synchrony [falls off in August]

 

Overall TU and EX aren't bad, but I feel like EQ is brutal. I know auto loan inquiries are "grouped" together and the effects minimise over time, but I have been hit with the "too many INQs" stick before and I do not want to feel its wraith again. Smiley Tongue

 

Anyways, PenFed rep said they only do SSLs so I guess they must've stopped with cards here recently...

 

I can either...

A. Drive to DC and deal with SDFCU's "matrix" ordeal

B. See if DCU lets me in and I'll get their secured instead

C. Let the ~$10k I have in Alliant age for at least 30 days and roll the dice on an unsecured?

D. Try for pre-approval with a local CU? Wright-Patt CU here in Ohio apparently will throw pre-approvals out on CCs, if I understand correctly.

 

Are there any other FIs where I can run through some kind of "pre-approval checker" that aren't Chase/Citi/WF/BoA/etc?

 

Also.... do I *need* to get the 3rd card now? I'm kinda wanting to wait until autumn for the third card, getting these two and juggling them + the rebuild steps is already slightly overwhelming for me.

Message 28 of 34
Horseshoez
Established Contributor

Re: BK7 Discharge Imminent - I can't decide which path/card is right?

@99BMWM3, my thinking was to get the apps out of the way as soon as possible and let them start aging.  At the time I deposited the money intended for my SSL into PenFed I only had two cards and something like 14 hard pulls in the previous 12 months; a few folks here suggested PenFed would probably approve me for an unsecured Visa card almost immediately and encouraged me to swing the bat.  I applied and was approved for their Platinum Rewards Signature Visa with a $6,000 limit, this only a year after my discharge.  Yeah, I was pleasantly shocked.

 

So, to answer your question of do you "need" three cards?  Heck no, I did very well for 7 years with no cards and then went the first nine months of my post discharge life with only one card.  However, for fast tracking your credit score recovery, the collective here at myFICO seem pretty certain having 3 revolvers and one installment loan is the minimum for the best recovery track.

I categorically refuse to do AZEO!

Message 29 of 34
99BMWM3
Member

Re: BK7 Discharge Imminent - I can't decide which path/card is right?

I called DCU and was told no card for at least 2 years. Wright-Patt was really vague and said there's no specific amount of time and they look at "the totality of the application." 

 

I think I'm going to garden for 6 months and then app for PenFed PCR. I've seen data points of people being approved as soon as 3 months post-DC so I think once I make my big move and have employment, then I'll try. Unless I should wait until I've been employed at least 90 days, which would push us into February/March-ish?

 

My alternative is I fly down to DC and deal with SDFCU in-person for a secured card that graduates to an unsecured. Did some looking and found plane tickets in September for $80, which is cheaper than I can drive. Alternatively I can snag a Delta flight for something like 10,000 SkyMiles and I have 70,000 of them just collecting dust. 

 

I think $80 in travel expenses is a small price to pay for peace of mind with a guaranteed approval -- plus there's some really great food in DC I haven't had in a loooong time. Smiley LOL

Message 30 of 34
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