Does your credit score go up after discharge?

[EveryDayAdam]

I am a Mortgage broker as well, I just had a client with an 803, 807, 801 mid score.... can't bet that.

Wow! I bet the bank was paying HIM to borrow money with scores like that :-D

To contribute to the conversation: My scores were 527/509/528 before filing....pretty bad. I checked them today and they are at 535/522/529. Nothing drastic so far...but none of the BIG accounts have reported the IIB yet. I'm expecting mid-high 500's by the time it's all said and done. I'm going to start my clean up crusade at the end of the month. Phones have been so quiet :-D

[littlephoenix]

I am a Mortgage broker as well, I just had a client with an 803, 807, 801 mid score.... can't bet that.

wow that is pretty high, i would love to sit and have a talk with this person, just see what and how they got it that high hehe I bet he has a good job or a owner of a company right !!

[CindyLou]

FICO (credit) scores is a computer-generated number that objectively predicts how "risky" you are for the repayment of a loan based on your past credit history. The ratings are based upon your credit history over several years thus making it difficult to increase your credit score in a short time period. Having a bankruptcy on you file will kill all chances of obtaining a loan at a reasonable rate.



My fico score last time I checked was 744

Chapter 7 discharged Feb. 2006, Financed 2006 Ford Escape SUV April 2006...2 months out of BK @ 0.9%.......2 months ago I refied my Jeep Wranger with Community Credit Union at 6.75% after purchasing it new in Sept. 2006 at. 11.95%. My hubby and I each just got new WAMU credit cards....mine 3500 limit 0% interest til Oct. 08 his $3000 limit wit 0% til Oct 08 and then 14.9% after. We have both rebuilt our credit over the last 18 months. hubby's scores have climbed over 100 points with transunion at a whopping 705 at last check! Mine hasn't been as shocking, but has changed and my high score is 660 with Equifax.

Prior to Filing BK both of our scores had tanked to the high 400's and right after filing we were both in the low 500's. I totally disagree with the statement that BK kills all chances of obtaining a loan at a reasonable rate, in fact, without it, I would be in worse credit shape today and would be UNABLE to obtain any loan at all.

You CAN increase you credit score in a short period of time with credit repair because you can "rewrite" the last few years of your credit history by removing innacurate data off the report. Sometimes even accurate negative date is removed if you simply ask for it to be verified and it is not verified.

Ok, now off my Soap box. BK is not the death of credit consumer. If is fresh start and if hard work and dedication by the debtor is exercised, then quick progress can be made.

There are also MANY BK friendly creditors out there that are ready and willing to give great rates to fresh BKers!

[BKcrazy]

Thanks for sharing that Cindy. That is just fantastic. I don't plan on getting a home for a really long time. And the next car I get is going to be done without a loan. But, it makes me feel good to know that there is hope to getting my score back. Even in my early 20s I had 773, and since I've been through a divorce in 2000, I had to work my butt off to get my credit high again. Then had circumstances that caused me to file BK. I prided myself for years on having good credit. Nice to know it will possible again.

[copper2]

Thanks Cindy

I have to say, too, what a refreshing, inspiring, motivating post. I too, had excellent credit and encountered circumstances that led me to consider bankruptcy. I feel badly for the thousands of people who are going to experience a foreclosure on their credit - over 1/2 million homes as of this quarter. Life will go on and we need to remind each other! Thanks for your post. Copper2

[EveryDayAdam]

I will also say that my scores have gone up...Just look at my signature...I am still pretty early in my chapter 13, but my scores went down ever so slightly when I filed, and then as the creditors started reporting their balances as included in the BK, then they started going up...I've gained almost 50 points, and I can only expect them to go up with the cleanup i'm going to run.

[CindyLou]

Also, I'd like to add..in the process of househunting and in the final stages of my mortgage approval with Wells Fargo. My middle score was 675 (other two were 672 and 679)....these were rechecked by the mortgage co. just yesterday. ...much different than Truecredit. I guess all truecredit is good for is monitoring the accounts, not the actual scores!!! Will be getting interest rate in the mid 6's...to get the final number and final approval on Monday!

Just wanting to tell these things so Heymanisth does not discourage those who have filed. The most important thing to to not have ANY dings post bk!

[WantToBeDebtFre]

I just checked my scores on creditkeeper.com. They went up to an average of 649. I don't think that's too bad. I'm kind of happy ;)