cancel
Showing results for 
Search instead for 
Did you mean: 

Can I even rebuild after BK7 if I had almost every CC?!?

ABCD2199
Senior Contributor

Re: Achieving a successful & generic rebuild after BK-7 is very possible

Some lenders are going to blacklist, some won't.

 

If you have the ability to pay off any of the balances to $0 and close them yourself, do that, especially for lenders you want to approach when your scores recover and income can maintain proper payments.

 

In all reality, you can rebuild just fine with the popular secured cards that can be found with prime lenders.  You may not be able to reopen some burned accounts but you won't be closed off from credit forever.

 

$60,000 is a lot, but it depends on your income.  Do you have $2000 a month of available spending after your living expenses? Do you have the option to take on extra jobs to come up with more?

Message 11 of 16
Blazesian
New Contributor

Re: Achieving a successful & generic rebuild after BK-7 is very possible


@ABCD2199 wrote:

Some lenders are going to blacklist, some won't.

 

If you have the ability to pay off any of the balances to $0 and close them yourself, do that, especially for lenders you want to approach when your scores recover and income can maintain proper payments.

 

In all reality, you can rebuild just fine with the popular secured cards that can be found with prime lenders.  You may not be able to reopen some burned accounts but you won't be closed off from credit forever.

 

$60,000 is a lot, but it depends on your income.  Do you have $2000 a month of available spending after your living expenses? Do you have the option to take on extra jobs to come up with more?


 While my income is increasing, it has been slow and steady. I have maybe $400-500 to play with each month and I have been using it to attack smaller debts. As far as getting a second job, it is possible, if I could find a job that only allows you to work Sunday (my only free day outside of a 9:00am-8:00pm or later). 

 

Message 12 of 16
wa3more
Established Contributor

Re: Achieving a successful & generic rebuild after BK-7 is very possible

60k is alot and paying 400/500 a month will take a long time.

 

You might want to try passive bankruptcy. Stop paying on everything. See who files suit. Read up on arbitration and elect where you can. You can probably settle many of these at reduced rates around charge off. If worst case happens and you have large judgments and garnishments, you pull BK card.

Message 13 of 16
Dalmus
Valued Contributor

Re: Achieving a successful & generic rebuild after BK-7 is very possible

 Also, you do NOT have to include any account with a $0 balance in your Bankruptcy filing.

 

 Of course, you are taking a chance that they will AA you based on your credit report once the public record hits, but it is by no means a sure thing they will close you down.  And if they do, it'll simply be "closed by credit grantor" not "included in bankruptcy."

 

 I know two people, and I have seen a post or two here, in which people have manage to keep a CC open through the BK process by having a $0 REPORTING before they filed, and NOT using it at all until the discharge was complete.  I believe they were both CapitalOne cards, but I don't remember for certain.

 

 You DO need to specify to your lawyer not to include those cards in the matrix, though.

NFCU MR: $25K | Venture: $21K | Amex ED: $18K | NFCU CR: $18K | Amex BCE: $15K | IT #1: $17.5K | PNC Core: $15K | PPMC:  $12K | Wells Fargo: $11K | Savor: 12K | Cap1 QS: $8.5K | Barclays Rewards: $7.75K | IT #2: $7.3K | MLife: $6.5K | Sportsman's Guide: $8.7K | PenFed PR: $5.5K | Elan Plat: $2.3K | TRV: $2.8K | BotW: $3K


Current FICO 8 Scores: EQ: 810| TU: 774 | EX: 780


Message 14 of 16
major1986
Member

Re: Can I even rebuild after BK7 if I had almost every CC?!?

I burned alot of the same companies in my BK May 2016.  While I could not get back in with them right away, 6 months post BK I was able to get Merrick Bank, Ollo Card, Capital One (burned) and Amazon (burned).  I have not been able to get back in with Discover and I have not tried any of the old store cards that I burned because I am happily sufficient with my 3 major credit cards for now.  So all hope is not lost!

 

 

Starting Score: 450
Current Score: 654
Goal Score: 700


Take the myFICO Fitness Challenge
Message 15 of 16
pizza1
Community Leader
Super Contributor

Re: Achieving a successful & generic rebuild after BK-7 is very possible


@Blazesian wrote:

@Sebastian503 wrote:

 

Is there a legitimate religious reason or health concern that you can't live without having the following vendors?


In all seriousness, couldn't you just use a regular visa or mastercard at these locations during a three year rebuild?

 

 

..


I don't believe you understand my question. I asked is it possible to rebuild when all of the cards listed (outside of the four below) would be included in BK. According to all of the guides as soon as you come out of BK you're supposed to open another card and other steps etc which is why I asked if it's even possible when most cards are going to be included. 

 

Now, if all I have to do is keep the cards I have already open, then I may be fine but I don't see any topics on this. 


OK, first......Yes, you can rebuild very easily after BK, and yes you can get back some of cards that were IIB (included in your bankruptcy). Itll take some time, but its very doable. If you had ever followed me on these forums, youll know that rebuilding after a BK7 is a lot easier than you think. 

 

Secondly.....Once your other creditors get wind of your BK (and they will), they will close your $0 bal cards anyway. Id close them now to keep them in a good standing. 

 

.....and last but not least.....DO NOT open any new credit cards before you file for a BK.  

 

 I dont think you quite understand how BK filing works. Your trustee will pull your credit reports, and see that you opened new accts, and it will look intentionally to him or her,  that you planned to get the credit, charge it up to max, then file BK on it.  The trustee will throw out the BK, and deny/dismiss it all together.  You will then be stuck be a "dismissed BK" on your reports. 

 

Youre are not allowed to get new credit before filing,  period. You can however get new credit AFTER your BK has been DISCHARGED thru the courts, and reflects it in public records on your credit reports. Once that happens, then come back for advice what to do next. 

 

Most people get a Cap1 MC,  a month after discharge with a SL between $300-$3000.. (unsecured)..even if they were IIB.  Cap1 is the most forgiving.


My rebuild worked for me, but won't necessarily work for you!
BK7 D/C- 08/2013
Message 16 of 16
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.