Cap One Denied

[cjudkins]

Hello Everyone,

My CH7 was discharged November 19th and I recently applied for a Cap One card and I was denied. I thought I would apply due to the success's that everyone else seems to have with them after bankruptcy.

Well I got the denial letter and here is what is says for the reasons.

-Based on the credit report from Transunion, there are too many delinquent past or present obligations.

-Based on the credit report from Transunion, lack of recent revolving account information

-Based on the credit report from Experian, insufficient experience with high lines of credit

-Based on the credit report from Experian, too few or no accounts rated as satisfactory.


My reports for Transunion and Experian are all reporting IIB except for one item which is my hooters card. It is showing lates in September and charge off after filing date (8/21/09) -isn't this a violation of automatic stay?

Also where should I begin to repair my credit and address these reasons for Cap One denying me? The only account that seemed to survive was Crown Jewelers. Should I just go the secured card route until the smoke clears? Any department cards that will help my mix of credit?

Thanks!

[aces67]

I think you should try creditboards.com. They have a lot of useful info their for rebuilding credit.

[dscurlock]

If you want to rebuild, maybe try a secured card, you may
need a min of $1000 to secure your CD. I just opened
a secure with CitiBank. They cashed my check, so I
assume they will send my card.

[Meh]

How do secured cards work? I assume id send Citi a check for 1k and that would be my credit limit but do I ever get that 1k back???

[Never_Again]

Some banks offer you the opportunity to convert to an unsecured card after a certain amount of time. Others will not, and require you to re-apply for an unsecured card. If they convert you to unsecured, they would give you access to the account with the deposit in it, and you could withdraw it. Or, you would have to close the credit card to get access to that account.

[Flamingo]

Hello Everyone,

My CH7 was discharged November 19th and I recently applied for a Cap One card and I was denied. I thought I would apply due to the success's that everyone else seems to have with them after bankruptcy....

You have found out what many have found out...just because someone else posts on here or elsewhere that they received credit after discharge does not mean it will happen to you. Most people receive denials after discharge and the balloon bursts after reading of some success stories. As long as there is BK on your credit reports, you are a risk...there are BK friendly creditors but they are under no obligation to extend credit if they don't want to. The only thing that will help you is time and ensuring you pay all bills (mortgage, rent, electric, phone, etc.) on time from here on out.

[Mi Bankruptcy]

I received one a couple of months ago. However, I waited 9 months and I also reaffirmed two cars and a house. So, I had established a history after BK. You should wait for a little while before applying.

[willbfree]

We received an unsolicited card offer from Cap One this week for a Platinum Master Card. The offer said "You're working at getting back on track. Doing your best to pay bills on time and monitor your finances. That's why we believe this is the right offer for you right now". It included 0% APR on purchases until December 2010. Nice terms for someone who hasn't been out of bk six months yet. That's insane actually. You read in the news every day about all the credit drying up so why are banks so quickly attempting to reestablish ties? They know if they can get you charging again that you will probably walk down that same credit path and they can earn big bucks in interest again.

I understand everyone's circumstances and credit history are different but I wouldn't be in a hurry to get a new card again. For now I like living on a cash basis. Even this nice offer went in the shred pile.

[cjudkins]

I appreciate everyones feedback on this issue. I do agree with most posters saying that i should let the bankruptcy age, but on the other hand I see it as a "hit the ground running" situation in credit rebuilding.

It is just frustrating that I see many others getting credit right after Chapter 7 BK. I guess I am just jealous and I compare myself to others and their ability to get credit and offers. I feel like I am stuck besides a Secured Card because of the lack of accounts and utilization.

I was wise with my cards when I had them before bankruptcy. I did not max them and I always carried a low balance each month and made payments on time. Its just hard to get by anymore without a credit card. I can't travel for work, stay in a hotel without huge fees or even rent a car. But I guess this is no excuse and I will just have to be patient and get a secured card.

[Flamingo]

I appreciate everyones feedback on this issue. I do agree with most posters saying that i should let the bankruptcy age, but on the other hand I see it as a "hit the ground running" situation in credit rebuilding.

It is just frustrating that I see many others getting credit right after Chapter 7 BK. I guess I am just jealous and I compare myself to others and their ability to get credit and offers. I feel like I am stuck besides a Secured Card because of the lack of accounts and utilization.

I was wise with my cards when I had them before bankruptcy. I did not max them and I always carried a low balance each month and made payments on time. Its just hard to get by anymore without a credit card. I can't travel for work, stay in a hotel without huge fees or even rent a car. But I guess this is no excuse and I will just have to be patient and get a secured card.

It's the price everyone pays for filing BK - no one said filing BK was an easy thing in the long run but remember time is your friend after discharge.

[Chucksoutalu]

If and when ya get a CC just dont get sucked in! No more CCs for me. Whats the old sayin............Fool me once, shame on you, fool me twice shame on me!!!?

The way I was and am treated by the CC companys they can all pack sand!! I will get credit some other way.

[AMISLANDER]

I appreciate everyones feedback on this issue. I do agree with most posters saying that i should let the bankruptcy age, but on the other hand I see it as a "hit the ground running" situation in credit rebuilding.

It is just frustrating that I see many others getting credit right after Chapter 7 BK. I guess I am just jealous and I compare myself to others and their ability to get credit and offers. I feel like I am stuck besides a Secured Card because of the lack of accounts and utilization.

I was wise with my cards when I had them before bankruptcy. I did not max them and I always carried a low balance each month and made payments on time. Its just hard to get by anymore without a credit card. I can't travel for work, stay in a hotel without huge fees or even rent a car. But I guess this is no excuse and I will just have to be patient and get a secured card.

My personal thought is to let at least six months pass before you apply for a card. Make sure everything is cleared up on your reports. A lot of it also depends on your credit prior to bk. If you were wise with your cards then what happened? I don't think any of us can say we were wise, if we were, we wouldn't have had outstanding debt that we couldn't pay off.

Don't you have an atm check card? You can use that for hotels, etc...

[cjudkins]

My personal thought is to let at least six months pass before you apply for a card. Make sure everything is cleared up on your reports. A lot of it also depends on your credit prior to bk. If you were wise with your cards then what happened? I don't think any of us can say we were wise, if we were, we wouldn't have had outstanding debt that we couldn't pay off.

Don't you have an atm check card? You can use that for hotels, etc...

Divorce and lots of medical debt happened. After the divorce I was good with making payments on time and slowly building credit back up. I was disputing left and right with some success and FICO increases until they started attaching judgments to validations and garnishing my wages. I threw in the towel..

No bank account due to Chex. I am in the process of getting those removed from Chexsystems so I can get another bank account.

I did get CreditOne approved btw for 200.00. I don't plan on using this card at all only to rebuild. I have heard its pretty crappy.

[Logan]

My personal thought is to let at least six months pass before you apply for a card. Make sure everything is cleared up on your reports. A lot of it also depends on your credit prior to bk. If you were wise with your cards then what happened? I don't think any of us can say we were wise, if we were, we wouldn't have had outstanding debt that we couldn't pay off.

Don't you have an atm check card? You can use that for hotels, etc...

I applied for an Orchard card and was approved for $500. I used it and paid it off for a few months and then went for the Capital One card.

When you are discharged and applying for credit you must be realistic. If you had a messy credit report going into BK you will most likely have more trouble getting credit than someone with a cleaner credit history.

Not everyone is equal when applying for new credit so don't get too frustrated when denied credit.

Logan

[AMISLANDER]

Right on.

My credit was stellar prior to bk. I didn't have medical bills except for a $1K er visit a friend somehow stuck on me. I bk'd on three cards totaling 60K.

I feel very nervous for those who, IMO, can't wait to get back in the credit game; it's not a good time to play right now, the economy is just way too volatile.