OMG... approved for unsecured Crap1... 341 still 15 days away...

[sharksfan]

I am in complete and utter shock...

I have been doing some wishful thinking over the past few days about getting a jump on rebuilding my credit. I've already disputed a small handful of items and got a 30/late reported after filing removed. I'm still waiting to hear back on the charge off reported by Citi (should read 'never late'). Everyone else is playing nice other than some minor issues.

I now believe that filing BK with no baddies on my CRs was a good call.

[bkdone]

Did you just apply for that card in the midst of filing for BK?

[Teddy]

I now believe that filing BK with no baddies on my CRs was a good call.

I'm hoping that happens to me too! My cc's were never late. I have one late thing showing up due to something in my divorce and my ex filed BK. But other than that one thing, no late payments ever.

[sharksfan]

Did you just apply for that card in the midst of filing for BK?

Yes! I filed BK 3 weeks ago.

[jdmc1973]

Why would you apply for a card before your discharge, much less before your 341? Just out of curiosity. Seems like you would want to wait until after your discharge.

[HHM]

Why would you apply for a card before your discharge, much less before your 341? Just out of curiosity. Seems like you would want to wait until after your discharge.

Aside from the fact that you are not supposed to apply for and/or use credit during an open BK 7, getting a card during your BK is NOT going to make that big an impact. A BK 7 lasts 3-4 months, most of the variables on your credit report that factor into your score are scored in terms of years, (not months).

It is true that if you go into a BK and are never late, your credit will not be as damaged when you come out of BK, but in the big picture, you really need to asses why you are "focusing" sooo much on your credit. More than anything else, TIME heals credit.

[sharksfan]

Aside from the fact that you are not supposed to apply for and/or use credit during an open BK 7

I read that that only applies to BK13 filings...

It is true that if you go into a BK and are never late, your credit will not be as damaged when you come out of BK, but in the big picture, you really need to asses why you are "focusing" sooo much on your credit. More than anything else, TIME heals credit.

Because I plan on owning a home again in 2-2.5 years. If I can continue my good credit after my BK7 filing for 24 months with low utilization and a nice mix of trade lines, I believe I'm going to put myself in a really good position. I just hope the housing market hasn't rebounded too much when I am ready to jump back in.

[HHM]

Because I plan on owning a home again in 2-2.5 years. If I can continue my good credit after my BK7 filing for 24 months with low utilization and a nice mix of trade lines, I believe I'm going to put myself in a really good position. I just hope the housing market hasn't rebounded too much when I am ready to jump back in.

Actually, you will OWN a mortgage (a big, fat, giant LIABILITY, not an asset) not a home.

The rules for applying for and using credit are the same regardless of which BK you file. For a 7 it really does not matter that much, but is, strictly speaking, something you are not supposed to do while discharge is pending.

[sharksfan]

Actually, you will OWN a mortgage (a big, fat, giant LIABILITY, not an asset) not a home.

The rules for applying for and using credit are the same regardless of which BK you file. For a 7 it really does not matter that much, but is, strictly speaking, something you are not supposed to do while discharge is pending.

My mistake

[jp2861]

Actually, you will OWN a mortgage (a big, fat, giant LIABILITY, not an asset) not a home.

The rules for applying for and using credit are the same regardless of which BK you file. For a 7 it really does not matter that much, but is, strictly speaking, something you are not supposed to do while discharge is pending.

HHM where is this in black and white? I've done some snooping around and cannot find any law or rule that says someone can't obtain new credit right away.

I can see the reasoning of not creating new debt before discharge, but not about creating available credit.

[jJimmy11111]

In the same way that a cc company might change your rate if your score decreases..........is it not likely that they would cancel a new card after they see that the person filed bk.

I'm assuming they granted it before the bk showed up on the credit report.



.

[epiphany]

HHM where is this in black and white? I've done some snooping around and cannot find any law or rule that says someone can't obtain new credit right away.

I can see the reasoning of not creating new debt before discharge, but not about creating available credit.

Regardless of whether or not it is anywhere in black and white, it won't look good to the trustee. There you are already chomping at the bit for new credit when you haven't yet dug yourself out of the hole you are in.

Might not be the case, but that's how it will look. Especially if your trustee is an ahole. Why take that chance?

ep

[sharksfan]

In the same way that a cc company might change your rate if your score decreases..........is it not likely that they would cancel a new card after they see that the person filed bk.

I'm assuming they granted it before the bk showed up on the credit report.
.

I assumed the BK on my CR would mean an instant denial. I'm sure my CL will only be in the $300 range, which is MORE than enough to accomplish my goal.

I never want to see a CL over $1000, let alone $500 again.

Bank: "Because you are a valued customer, we have upped your limit to $5K."

Me: "Please close my account."

[sharksfan]

Regardless of whether or not it is anywhere in black and white, it won't look good to the trustee. There you are already chomping at the bit for new credit when you haven't yet dug yourself out of the hole you are in.

Might not be the case, but that's how it will look. Especially if your trustee is an ahole. Why take that chance?

ep

I question if the Trustee will even know. Do they run credit at some point? What about people who purchase (not redeem) vehicles while in BK through US Bank? IMO it's no different than not including your $0 balance CCs when you file.

It's important to note that I'm not going to lie if asked about any new accounts. My intentions are good and are of someone who is to impatient to wait until June to start rebuilding.

[epiphany]

I question if the Trustee will even know. Do they run credit at some point? What about people who purchase (not redeem) vehicles while in BK through US Bank? IMO it's no different than not including your $0 balance CCs when you file.

It's important to note that I'm not going to lie if asked about any new accounts. My intentions are good and are of someone who is to impatient to wait until June to start rebuilding.

If I'm not mistaken, one needs trustee approval to purchase a new (or used) vehicle during BK.

I'm not sure what kind of checks and balances the trustees have but you can bet it varies amongst them. They can pull your credit any time they want. How else would they verify what people tell them?

I'm not doubting your intentions...and I understand why you wanted to do that...but I just don't think it was a good choice.

Me, I'd be uncomfortable with that. I sincerely hope you fly under the radar with that.

ep