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Bridging the gap after a chapter 7 BK

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Member

Bridging the gap after a chapter 7 BK

So I discharged about 18 months ago and had quick luck. Reestablished with capital one small line. Credit one small line,personal loan I’m paying into self lender and a few other small accounts. But I can’t aeem to get into better banks I’m running about a 670 cu across the board. Any help would be appreciated
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Community Leader
Valued Contributor

Re: Bridging the gap after a chapter 7 BK


@scerati7638 wrote:
So I discharged about 18 months ago and had quick luck. Reestablished with capital one small line. Credit one small line,personal loan I’m paying into self lender and a few other small accounts. But I can’t aeem to get into better banks I’m running about a 670 cu across the board. Any help would be appreciated

Where are you getting your scores from?  What banks are you trying to get in to?

 FICO 8
Message 2 of 9
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Frequent Contributor

Re: Bridging the gap after a chapter 7 BK

As all the derogatory information ages it will have less effect on your Fico score.When you pass the two years mark it will be considered less recent.Keep making monthly on time payments to your cc's and installment loans.Keep cc utilization 1-6% on cc's.Learn azeo method before any apps.Keep one cc open as the oldest cc acct.Keep in mind when you open any credit accts it lowers your aaoa plus the hard inquiry,so I never open any credit accounts that I don't need.As everything ages on your cr and if you follow these steps your credit score will improve.GOOD LUCK...

Message 3 of 9
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Valued Contributor

Re: Bridging the gap after a chapter 7 BK

List the banks you burned in BK

Message 4 of 9
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Member

Re: Bridging the gap after a chapter 7 BK

A few $200 cards from target old navy and Walmart,capital one was a doozy,bank of America
Message 5 of 9
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Established Contributor

Re: Bridging the gap after a chapter 7 BK

Time is your best ally. As previously advised, keep making your payments on time, and keep your reported utilization low. At 18 months you’re still a young sprig; go into the garden & nurture your accounts so they can grow...







Message 6 of 9
Community Leader
Valued Contributor

Re: Bridging the gap after a chapter 7 BK


@scerati7638 wrote:
A few $200 cards from target old navy and Walmart,capital one was a doozy,bank of America

Could you answer my question from post #2?  Many of us are familiar with internal policies of virtually any creditor.  We can help answer your original question if we knew the answer.  Where are you getting your scores from?

 FICO 8
Message 7 of 9
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Member

Re: Bridging the gap after a chapter 7 BK

I use scores from several places discover statements,credit karma. I was trying to get into Wells Fargo,Citibank,chase bank a lot with some store credit lines. I keep getting Amex recommendations on credit karma but I feel like that’s a waste of in inquiry
Message 8 of 9
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Community Leader
Valued Contributor

Re: Bridging the gap after a chapter 7 BK


@scerati7638 wrote:
I use scores from several places discover statements,credit karma. I was trying to get into Wells Fargo,Citibank,chase bank a lot with some store credit lines. I keep getting Amex recommendations on credit karma but I feel like that’s a waste of in inquiry

Two things you should understand about Credit Karma.  The first one is they provide Vantage Scores, not FICO scores.  They can be off as much as 100 points from your true FICOs.  The next thing is that CK gets paid when they refer you.  It doesn't matter if you are approved or not....they get paid.  Naturally they claim you need a ridiculous number of cards for good credit, therefore getting you to apply and keep the money making machine well oiled.  Don't listen to the recommendations, don't look at their scores, nothing.  It is a good monitoring tool as far as account balances, inquiries, etc.

 

If you have a BK on your record:

Chase is an auto denial.  Forget it.  You're out.

Amex is pretty much a minimum 5 years post discharge.  If you burned them, you may never get back in.  There are people here with 20+ years trying to get back in with no luck.

With Citi, you may get approved for one of the cobranded cards(Home Depot for example) around the 5 year mark and probably 7 years post discharge for one of their main cards.

Wells Fargo claims on their website that if you have a BK on file during the last 10 years then it is unlikely.  There have been reports of people getting approved 3 years post discharge but that is the earliest that I have heard.

 

These are just some of the summaries that I have read that others have shared their experiences.  It is possible to be approved outside of these guidelines but the above is just a general guideline.  None of the creditors that you have mentioned are BK friendly.

 

Build positive history with what you have and you don't need to have a whole train of store cards.  You can obtain a perfect FICO score with 3 credit cards and an open loan.

 FICO 8
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