@CreditDunce wrote:
@Broke_Triathlete wrote:I forgot to mention... I tried refinancing my car at my CU a few months back (don't have a car payment anymore) and they said I would have been approved but because I am under 2 years of a discharged chapter 7, they denied me. So should I wait until the 2 year mark to apply for their credit card?
It is common, but not universal, to be denied for unsecured (e.g. CC's) for two years after BK. Some will do secured loans after 1 year after BK, but you will probably have a higher interest rate. If you still had a car loan, I would say check other CU's to see what they say. In your case, look for a CU that offers a secured CC (assuming you have the cash to lock up). Ideally, you want one that reports to all 3 major CRA's and will graduate to an unsecured card at some point. But I would settle for something will low/no AF.
Another option is some CU's offer a small, automatic overdraft protection for your checking account. It would show up as a revolving LOC on your CR. You just need to ask to see what your CU offers.
CU's are just like banks. Some give very generous CL's others not so much. Some have high underwriting requirements, some are much more relaxed. In general, CU's don't offer as competitive sign up bonuses or rewards. However, in general they offer lower interest rates than banks.
Well I do have 6 months of expenses sitting in one of their savings accounts. So I'm hoping that'll help. It sounds like I should maybe wait until the 2 years is up. By then all my other limits will be considerably higher too. Of course I'd still like to hear what the under writer says. I'll look to see what my CU offers as far as CC's go. I'll report back.
Personal:
Thanks for the post. I'd love to get a $2,000 CLI from them on each card. That'd put me at the $5,000 mark!
I just got off the phone with the underwriter at the CU and she said that they will not approve me until two years post discharge. So I have until April 1 (to be safe) before I can apply with them. By then I'll have all my cards grow and have more in their savings. Have 6 months of expenses now, and going to have more.