FilingOnMyOwn... ? for you :)

[ilovemycaitybug]

I've noticed in your siggy all of the credit you have been approved for! Just curious, how did you get your credit up so quickly? And sorry if this is personal and you don't have to answer, but do you use the cards and pay them off each month or do you carry balances? What was your credit score before the filing? Mine's around 470 or so... I'm just wondering how bright that light really is at the end of the tunnel!

Thanks for your advice!

[CATCHMEIFYOUCAN]

Just my 2 cents:

My light is so bright now IM BLINDED. Im just happy to be debt free ! Credit cards can take a back seat with me for awhile ! I can DIE DEBT FREE ! WHOOOOPEEEEEE. LOL.

CMIYC

[SinkingFast]

Start by cleaning up your Credit Reports. Get that working first.

Then you can start applying for Credit.

And think small, Grasshopper!!

[FilingOnMyOwn]

I have absolutely no idea what my scores were prior to filing. Since I had only one major creditor that forced me into bk for no reason (citibank), after the bk was discharged I was already seeing scores in the 700's.

If you had alot of creditors discharged, that would drag down your scores and make things harder, as it would increase your # of derogatory accounts.

I've been discharged for over a year and no longer have any cards with annual fees, although I did have to start out with them.

It takes time, determination, and effort to achieve your goals. Go after each and every bk friendly card available that is fee free, and pay it in full when the bill comes.

[CATCHMEIFYOUCAN]

Hey "FilingOn ..." did you close those creditors down that were charging the fees eventually? Doesn't that hurt ones score? I'm starting off with a Millenium CC, I'm due to recieve next week. I have to pay $59 a year to keep them after securing the credit card with $300 (which is my credit limit - could be more if I want it to be). But I figured I got to start somewhere and hopefully in year I'll get offers w/no annual fees and shut down Millenium.

Best Wishes, CMIYC

[FilingOnMyOwn]

Yes it does hurt your score a bit to close accounts. But why should anyone continue to pay $60 annual fees for $300 limits after they get better cards?

I closed all my accounts with annual fees. I refuse to pay them when I now have $27,000 in credit limits that don't cost me a dime in fees.

So maybe my scores are a few points lower because I've closed accounts. But my credit is still good enough to do basically anything that requires credit. My auto insurance is down over 30% in the last six months alone, to $50 a month. I could finance a newer car if I needed to, at 6% interest or less. I could even buy a house if I found an affordable one.

As far as I'm concerned, the high fee, high apr cards are simply starter cards. Once better cards become available, there is simply no reason to allow yourself to get ripped off.

[spell]

Here's my favorite article on the subject.

http://moneycentral.msn.com/content/Banking/bankruptcyguide/P108797.asp

You're about to be flooded with offers of credit. The most important thing will to be careful and never run a balance.

Start by cleaning up to make sure everything shows as discharged in BK.
Then open a starter card or two, low limit, maybe annual fees.
Then increase your credit limits and drop anything that charges a fee.
Remember if you pay off the balance in full, you pay no interest.

Tread carefully and you'll be able to get cars loans and mortgages both at competitive rates in 2-3 years.

[ilovemycaitybug]

Wow, thanks everyone!!! We have a TON of debts to discharge, but I don't think my score can drop too far from the low 470 I was at! I am so excited to restart a respectable credit rating, without carrying debt (other than home and cars - and student loans). We are wanting to move into the country in the next 3-5 years or so and hope to have the credit to do so. With our current incomes, we could afford a decent home in our area (we're in a rural community so it's a lot cheaper than the nearby bigger towns). You have given me tremendous hope! Thanks a million!!! And congrats, Filing, for the awesome credit so quickly!!!