cancel
Showing results for 
Search instead for 
Did you mean: 

Filed Chapter 7 yesterday

tag
rodbite2104
New Visitor

Filed Chapter 7 yesterday

It's been a long road, but my income was cut in half due to the economic environment. I made 80% of my income from the Real Estate Sales market.  I just could not keep up with the bills. So yesterday my lawyer filed my Chapter 7. I have a 2021 F150 Crew Cab that's financed with Carmax for $47K. I am hoping to keep it cause it will be used to make money.

 

I am thinking I should try to save $3k and get a secured card after discharge.  Would love to hear other thoughts and experiences on doing chapter 7 and advice on what I should and should not do.

Message 1 of 6
5 REPLIES 5
Creditwiser
Valued Contributor

Re: Filed Chapter 7 yesterday


@rodbite2104 wrote:

It's been a long road, but my income was cut in half due to the economic environment. I made 80% of my income from the Real Estate Sales market.  I just could not keep up with the bills. So yesterday my lawyer filed my Chapter 7. I have a 2021 F150 Crew Cab that's financed with Carmax for $47K. I am hoping to keep it cause it will be used to make money.

 

I am thinking I should try to save $3k and get a secured card after discharge.  Would love to hear other thoughts and experiences on doing chapter 7 and advice on what I should and should not do.


Welcome to the forums and know that you're in the right place to learn how to plan and move forward post DC.  The next move you make once your CR's are reporting DC & IIB is dependant on your overall situation with scores, who you burned , and income.  A Secured card maybe your best bet but it all depends on your profile. You may qualify for a non-secured card. If you can share some more details you'll be able to receive a lot of good advice. I filed BK7 in 2014 and this forum was a life savor in gettting me back on my feet. I didnt have to go the secured card route but it was a different time in lending and I was able to join NFCU. You'll definitely want to try to keep the truck payment if you can comfortbaly afford it and 2 or 3 Credit cards.If not, you'll want a SSL or some installment loan that you're able to obtain. Again, this all depends on your profile and overall finacial ability once your DC and accounts listed as IIB. 

NFCU Visa 30k | NFCU Platinum 30k | Cap1 QS 12K | Cap1 QS 11.5K | Barclay MC 9k | Delta Gold Amex 30K | Discover IT 14K | CFNA FS 3200 | CareCredit 20k| Paypal Credit 5k | 1 months until BK7 disappears |
( EE from TU & EX )
Message 2 of 6
FireMedic1
Community Leader
Mega Contributor

Re: Filed Chapter 7 yesterday

Welcome @rodbite2104 

Sorry it had to happen. But at times we dont have any choice. First question. Did you reaffirm your vehicle? Right now is not the time to worry about rebuilding credit. Get thru the BK first. Then if all goes well and the DC shows up. Then its wait 30 days for all accounts to reflect a $0 balance and say IIB. Then a score change will happen for the better. Nothing to write home about. But it could be enough not to get a secured card and go the unsecured route. Once its all done. Then we can help which way to turn. In the meantime. Who was included in your BK. Dont go and grab cards until its all done.


Message 3 of 6
rodbite2104
New Visitor

Re: Filed Chapter 7 yesterday

The interesting thing is my Fico scores jumped over 100 points when the Bankruptcy was added and all 26 accounts were listed as zero owed.  When I have time I will make a list of Credit Cards I Burned. In total 21 Credit Cards. Yes, my truck is being reaffirmed. Although I am having second thoughts on keeping the truck. It's my dream truck. 2021 F150 Crew Cab, FX4 Sport with 16,000 miles. But I am $10k upside down.


@FireMedic1 wrote:

Welcome @rodbite2104 

Sorry it had to happen. But at times we dont have any choice. First question. Did you reaffirm your vehicle? Right now is not the time to worry about rebuilding credit. Get thru the BK first. Then if all goes well and the DC shows up. Then its wait 30 days for all accounts to reflect a $0 balance and say IIB. Then a score change will happen for the better. Nothing to write home about. But it could be enough not to get a secured card and go the unsecured route. Once its all done. Then we can help which way to turn. In the meantime. Who was included in your BK. Dont go and grab cards until its all done.



@FireMedic1 wrote:

Welcome @rodbite2104 

Sorry it had to happen. But at times we dont have any choice. First question. Did you reaffirm your vehicle? Right now is not the time to worry about rebuilding credit. Get thru the BK first. Then if all goes well and the DC shows up. Then its wait 30 days for all accounts to reflect a $0 balance and say IIB. Then a score change will happen for the better. Nothing to write home about. But it could be enough not to get a secured card and go the unsecured route. Once its all done. Then we can help which way to turn. In the meantime. Who was included in your BK. Dont go and grab cards until its all done.


 

Message 4 of 6
sccredit
Valued Contributor

Re: Filed Chapter 7 yesterday

My reccomendation on the truck would be no to reaffirm it. Just ride it through. Keep making the payment until you can't and then hand it back. 

Message 5 of 6
FireMedic1
Community Leader
Mega Contributor

Re: Filed Chapter 7 yesterday

Nice. Your legally out of debt now. I kept my truck so it could report. Only had 8 payments left though. Get that DC paper and go have a nice dinner and enjoy debt freedom! Way to go!


Message 6 of 6
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.