Well, like I said...ask other people. What's working for my particular history might not for you. But some stuff I included in my BK still shows in collections, but TU says they are estimated to go off in two years, so I'm scared to dispute them....I don't know if it's better to have them show BK or let them drop off in two years, since BK sticks around longer. (I posted this elsewhere and haven't received a reply yet, so we'll see.)
For what it's worth to anyone, my Equifax FAKO I received on 2/25/12 has me at 565, quite a drop from my report EQ 640 FICO only a few days later. On the same date, it has my TU FAKO at 579, although my TU FICO was 641 yesterday, which was just three days later. My EQ reports my EX FAKO at 568, but EX says my FAKO is 638 (or something really close).
So, EQ has a big discrepancy between my EQ FICO and TU FICO; but my EX FAKO is right at my TU and EQ FICOs. Interesting how all these things vary.
They will still fall off in two years whether you have them IIB on your report or not. Disputing does not reset the DOFD. Having them listed as $0 IIB also removes them from your debt to income ratio and should give your scores a little boost.
Don't feel bad at all. My chapter 7 bankruptcy was disharged Feb 29, 2012 and my scores are pretty close to yours. I am attaching what I did over the last year and now I have 4 credit cards, an open line of credit, and an unsecured loan. Hang in there. If I can do this, so can you!!!
My rebuilding credit story
03-10-2013 07:45 PM
After losing my job (contract expired), I basically had to file chapter 7 bankruptcy in November 2011. It was discharged February 2012 and $127,000 in debt was erased. I discovered this site and based my recovery on everyone's experiences on this site.
The day my bankruptcy was discharged, I went to my bank, PNC, and opened a secured card with a $500 credit line that has a $39.00 annual fee. The same day I opened a secured card with a limit of $2500 that has no annual fee at my credit union. While there I also opened a secured loan for $500.00. That loan was paid in full in 4 months, so at the sixth month mark I would have a post-bankruptcy loan paid in full. Both pulled TransUnion the same day and my score was 515. I basically paid the accounts in full every month and never went over 30% utilization for first three months. For the next three months, my utilization went to 19%. I also spent the first six months correcting all the errors on my credit reports from the bankruptcy.
At the six month mark, I went back to PNC to see if I could get an unsecured card. I was declined. The loan officer told me he couldn't override the underwriter, he called on my behalf with me in the office. The underwriter told me I need to have a minimum of 12 months of perfect payment history and he also said I was exactly on the right track. I also learned
they can see how much debt was discharged. I took that as a learning experience. I then went to my credit union to see what they could do for me. They offered me an unsecured no annual fee credit card at 10.99% with a $1000 limit and an unsecured line of credit that I can use anytime. I use the credit card and PIF monthly and the loc is for emgerency use only (haven't used it yet)! Both places pulled TransUnion, at the credit union my score was 647 and at PNC it was 651.
I wanted to add another credit card and another installment loan to my mix. I went to another credit union and was declined for a credit card, discovered they use Elan which is basically US Bank, a card company I burned. They did approved me for a secured loan at 3.0% which I took. Just like the other loan I paid it off in 4 months, so it will show PIF at the one year mark. I still wanted another credit card in my mix. I declined by FNBO, American Express, and GE and all said due to bankruptcy. I didn't burn FNBO and AmEx but did burn GE. I was approved for a Barclay Apple Visa for $2200 and purchased an ipad. While I was on the phone with Barclay, I noticed they offer the Barnes and Noble card and I asked the guy if he could also give a B&N MC. He took $500 to the MC. I discovered my Dell account was still opened so I bought a laptop at 0% for a year. My utilization briefly went up to 30% but went back down to 18%.
At the one year mark, I decided to only apply for an unsecured installment loan. My other credit union approved me for that with no problems. I will have it paid off within 6 months. They actually pulled Experian and my score was 660. The loan officer at PNC pulled my TU and it was 667. My goal is to garden for the remaining part of the year. I want to get my utilization for credit cards under 9% and have my loan paid off before I attempt to get PNC unsecured card which I will try to do in August. I am hoping to buy a new car after the two year mark of my bankruptcy discharge which is February 2014 and get my credit score above 720 as well. I'm happy with my 4 credit cards, an open line of credit(not used just nicely aging), 2 PIF secured installment loans, and an unsecured installment loan.
Good to read someone else is doing the secured cc and secured loan. My score jumped as soon as I opened the accounts, but I was skeptical as to whether or for how much they would pay off over the next year. I have a six-month secured loan and a one-year secured loan.
Thank you for sharing your expereince with trying to get your cc unsecured. I had previously inquired about that, on here. I have a new, $500 secured cc with my CU. The customer service rep said I should probably wait a year before asking for it to be unsecured. In the meantime, after about six or seven months into it (when I can afford it), I'm thinking about increasing the CL on it, but worry that'll make them less likely to unsecure it. I guess we'll see.
Here's to hoping my score jumps up while or after I pay off these secured loans! Gardening until July, at any rate.