Post BK Credit Card Question

[DustinLH00]

I hope this is not a stupid question...

I do not intend to apply for credit for quite some time after I file. I am going to file on a number of different CCs. Will these CCs ever allow me to get new credit with them even if several years have passed? The reason I am concerned is I have a diverse CC portfolio:

Capital One
Citibank
Chase
Discover
American Express
Elan Financial

My concern is that if I file BK on all 6 creditors and if all 6 black list me and refuse to give me credit ever again, I am really limiting myself for future credit needs, since I have covered 5 major banks. Please let me know your thoughts. Thanks.

[amei]

Get new credit through a small business

One thing that you could consider doing at some point is starting a small business and get a card in your business name (watch out for those personal guarantees).

There always seems to be a need for hotels, car rentals etc. to have a credit card just for holding even if you intend to pay with cash. The fact that they hold a ton of money from your checking account if you use a check card can be a big headache to say the least.

The business doesn't have to be huge. You could turn a hobby into a small business and start establishing the credit you need that way.

i know there's a need to have personal and business credit kept separate, but depending on how you actually use credit, keeping the debt out of your personal name is a strategic advantage.

[dingdong]

Cap One is BK friendly I know. I am pretty sure they are even charge off friendly.

I have known people who have a CAp 1 CO on their CR and then years later with the CO still reporting have been given credit by Cap 1

Pretty sure AMEX blacklists -they are big time grudge holders.

Don't know about the rest

[JRScott]

Discover and American Express will blacklist you for sure. Not sure about the others.

At this time you shouldn't worry about what credit cards you can get in the future. The best thing we can learn as bankruptcy individuals is to live not only within our means but below them. It is a hard lifestyle adjustment but it is what we need.

[Flamingo]

Chase is well known for blacklisting if included in a BK filing. Of course that would include any credit cards associated with them (i.e., department stores, etc.). Some that were formerly BK friendly now may be tightening their belts as to issuing credit due to the new standards that will shortly take effect as to credit cards. Even folks with good credit are going to feel it.

[Flowers]

I was pleased for several months to be paying cash for everything and being cc free. Then I had to rent a car. Had to get a card. You should be okay, but I think it is best to be without a credit card.

How long does Amex blacklist for anyway? CapitalOne approved me but I donot know how much for nor do I want a big limit.

[keepmine]

I was stunned by Cap1. I included them in my filing and about a year later, they sent me a solicitation for a card-no fees and no security deposit. I filled out the applicaton expecting a denial but, was approved.
But, then was then and now is now. My filing was in 05 and the credit landscape has changed drastically.

[DustinLH00]

Thank you for all of the info. I really would prefer to wait several years before even thinking about credit again. If I never had to see a credit card again, I would be ok with that. I just think that eventually I will need one for something and it looks like it will be harder than I thought. Oh well.

[vegas911]

How long does Amex blacklist for anyway?

Until you pay it off (even after discharge - Oasis Program) or you die.


Even then I bet they still try collecting.

[Flamingo]

I was pleased for several months to be paying cash for everything and being cc free. Then I had to rent a car. Had to get a card. You should be okay, but I think it is best to be without a credit card.

How long does Amex blacklist for anyway? CapitalOne approved me but I donot know how much for nor do I want a big limit.

With a "blacklisting," it goes beyond the time the BK shows on your credit reports (10 years for Chapter 7). Even though the information is removed from your credit reports, the creditor still has it in their files permanently. If you reapply for credit with them ever again, there is a high chance you will not get approved ever.

[Amy26]

What happens with Student Loans? I have 4 chase credit cards... 1 is a "business" account (which I never have or ever plan to have a business), another generic one and then 2 without a balance. I also have student loans with them... private ones.

Assuming the credit card debt gets discharged... what happens with my student loans with them? I know they cannot be discharged but will they be like super pissed off at me and raise the interest rates on my student loans? Or will they put some kind of condition on it?

[Flowers]

So if I am black-listed with Amex for the BK I just went thru I wonder:
(a) should I need to get a corporate Amex for a new job and travel would that happen?
(b) I own a small business and would I be able to harness an Amex card via an application by my small business

[dingdong]

I think you are BL for life, unless you go through Oasis.

AMex may have to change the policy when this recession is over, they may find they have a very small marketable population when it is all over.

I think I read somewhere on this forum where a guy BKd on a personal and then tried to get a corporate and was denied.

I think most of their biz accounts require a PG anyway, so applying for biz, unless you are a huge corp, probably wouldn't work either.

[DustinLH00]

So if I am black-listed with Amex for the BK I just went thru I wonder:
(a) should I need to get a corporate Amex for a new job and travel would that happen?
(b) I own a small business and would I be able to harness an Amex card via an application by my small business

There was another individual that posted on here that was going to lose his corporate card because he was filing and was afraid of losing his job because of it. I can't remember the thread, but I would think that you would not be able to get the card. However, a job like that probably does a credit check on you as well...so you may not get the job because of that...

[JRScott]

So if I am black-listed with Amex for the BK I just went thru I wonder:
(a) should I need to get a corporate Amex for a new job and travel would that happen?
(b) I own a small business and would I be able to harness an Amex card via an application by my small business

a) AMEX is probably not an option.
b) Depends on the business if its a S-Corp probably out of luck, if it is another business type then perhaps you might could still get one but I wouldn't count on it.

In both cases you might be able to get MC/VISA to fit your needs.