Chase With Open BK13??

KrazyKanzan · ‎01-23-2021

Hello everyone!

Does anyone have any experience with recon through Chase while in a chapter 13 case? I have searched and searched and haven't been able to come across any answers for this scenario. I'm 3 years into a 5 year repayment plan, and I actually have really good credit other than the BK reporting. I have no other negative items.

I filed chapter 13 in relation to a business I owned, and that was the only reason for filing. My payment history and credit profile are squeaky clean. Chase was not IIB.

I'm curious to know if anyone has given this a shot before. Specifically, I could really benefit from one of the three Southwest Visa cards. I am currently sitting on a Caesar's Rewards Visa and the Ollo Card. I also still have a Kohl's store card that was opened almost 4 years ago.

I also want to add that I do have permission to obtain credit in the form of cards. Debt to obtain property (a vehicle, for example), is obviously a no-go for a couple more years.

Thank you in advance for your insight!!

Remedios · ‎01-23-2021

Chase will not approve while BK is on CR

CreditMagic7 · ‎01-23-2021

Boooo Chase, but is True!

I think they are set in granite stone with that policy until time if ever they set aside a policy change regarding post BK clients/customers

KrazyKanzan · ‎01-23-2021

Boooooooo!!

I did come across where someone said that they changed their policy and they won't even do recon now after discharge. That's crazy, but I can't blame them to an extent.

Thank you!

FinStar · ‎01-23-2021

Well, their rules, right?

What I'd suggest, is wait until your BK13 payment plan is successful and complete. There have been some rare situations for Chase being able to overturn certain BK decisions, but it's rare. I'm sure that for anyone who went on an aggressive BK rebuild and added a ton of accounts, inquiries shortly after BK then Chase is unlikely to be that welcoming.

On the upside, since Chase wasn't IIB, you probably may have a potential chance (no 100% guarantee of course) if you were to try in a few years and see if that yields anything -- provided your profile has significant improvements post-BK13. We really don't know what their BK policy might look like by then. But, definitely not today.

KrazyKanzan · ‎01-23-2021

@FinStar wrote:
Well, their rules, right?

What I'd suggest, is wait until your BK13 payment plan is successful and complete. There have been some rare situations for Chase being able to overturn certain BK decisions, but it's rare. I'm sure that for anyone who went on an aggressive BK rebuild and added a ton of accounts, inquiries shortly after BK then Chase is unlikely to be that welcoming.

On the upside, since Chase wasn't IIB, you probably may have a potential chance (no 100% guarantee of course) if you were to try in a few years and see if that yields anything -- provided your profile has significant improvements post-BK13. We really don't know what their BK policy might look like by then. But, definitely not today.

I appreciate the advice! I think I'll give it a shot when my plan is discharged in 2023 and see what happens. If it's a wasted HP, it really won't bother me because I don't plan on applying for any other credit cards between now and then. Both of my current CC's credit lines are going up on a regular schedule, so I should be sitting pretty well come March 2023.

FinStar · ‎01-23-2021

@KrazyKanzan wrote:
@FinStar wrote:
Well, their rules, right?

What I'd suggest, is wait until your BK13 payment plan is successful and complete. There have been some rare situations for Chase being able to overturn certain BK decisions, but it's rare. I'm sure that for anyone who went on an aggressive BK rebuild and added a ton of accounts, inquiries shortly after BK then Chase is unlikely to be that welcoming.

On the upside, since Chase wasn't IIB, you probably may have a potential chance (no 100% guarantee of course) if you were to try in a few years and see if that yields anything -- provided your profile has significant improvements post-BK13. We really don't know what their BK policy might look like by then. But, definitely not today.
I appreciate the advice! I think I'll give it a shot when my plan is discharged in 2023 and see what happens. If it's a wasted HP, it really won't bother me because I don't plan on applying for any other credit cards between now and then. Both of my current CC's credit lines are going up on a regular schedule, so I should be sitting pretty well come March 2023.

The other thing I'd suggest, as you move toward the completion of your plan, just be aware of Chase's 5/24 rule or restriction (i.e. no more than 5 or more accounts in a 24 month timeframe), so as long as your profile stays under that count, then you have a stronger case in the event a reconsideration is warranted.