Can I apply for credit after 341???

[cassandbrook]

We had our 341 hearing last week. I am already getting offers in the mail to rebuild our credit. I know that most of them are crappy, but hey you gotta start somewhere. Do I need to wait until we are officially discharged before applying for these? Or can I start now, we are anxious to get our Fico scores back up. We are in the state of Oregon. Thanks!!!

[lrprn]

Wait until you are discharged and your Ch 7 is officially closed.

Many of our members have found that although you may be getting cc offers, when you actually apply for the decent card offers, you'll be declined. Worse, the hard hits on your credit report take your score down even more. And if you do get a crappy card with a ridiculously high APR, very low limit, and high annual or monthly fees just doesn't help that much.

Most folks wait about six months out to give their credit scores time to 'age' a bit after the filing. Seeing on-time payments for a period of time seems to help the creditors decide you are less of a risk.

And also, one more tip - take the six month wait to learn how to live within what you make each month. If you haven't already, get a budget together and stick with it. You'll be glad you did!

The bottom line is the only real way to recover your credit scores after filing bk is the passage of time and a solid record of on-time payments, so don't rush it.

[bankruptsee]

I would imagine a secured credit card would be the way to go.

[aces67]

You should wait until after your discharged.

[cassandbrook]

To Moderator (IRPRN)-
You mentioned letting my score "age" a bit and having some on time payments. I guess that is my question. Other than on time cell bills, and utilities, there will be nothing reporting on my credit score. Although I am re-affirming my car loan, my understanding is that Toyota won't be reporting now. So thats why I was asking about a card, I need something that does report so I can show on time payments. My rent doesn't report either.....any thoughts?

[music12]

there is no hard and fast rule, but it's advisable to wait for discharge. it's only a couple of months, maybe 3 months, and in the large scheme of things this will not make a difference. plus, the offers will get slightly better after a few months. so better to wait. the humungous fees are just not worth it - with the crappy offers, you'd be paying around $300 just to have a credit card. is that worth it?? i don't think so. give it some time, get better offers.

[zscfan]

True, cell phone companies and utilities do NOT report on time payments, but they certainly will report late payments. So not having lates on your CR shows that you are paying your bills on time.

Just my 2 cents : )

[lrprn]

I need something that does report so I can show on time payments. .....any thoughts?

If you decide to pursue getting a secured credit card (which was already mentioned and should report to the CAs) or try to get an unsecured one, spend a few months first cleaning up your credit report so it is as accurate as possible before venturing out to get new credit. The fastest increase in your score will occur if you combine installment loans with revolving credit.

Once you do get a new credit card (secured or unsecured), you also want to keep the cc balance as low as possible and be sure to pay it off in full every month

You can get a free copy of your current credit report from https://www.annualcreditreport.com/cra/index.jsp. And the Federal Trade Commission's website gives a good explanation about how to clean it up - http://www.ftc.gov/bcp/edu/pubs/cons...dit/cre03.shtm

Watch out for the credit fix shysters online (and there are a lot of them) who want to take your money to fix your credit report. Save your money because you can do a great job fixing your credit yourself.

Good luck - I hope your 60 days to discharge go by quickly and quietly!