credit card

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coloravalanche

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I filed for 13 Chapter Bankruptcy about 3 years ago. I am wondering if I could apply for new credit card that would accept that I filed for bankruptcy?

If yes, do you know what type of credit card I could apply for? thanks!
 
When you filed for Chapter 13, your attorney was supposed to explain all your rights and responsibilities when you signed the documents. Do you still have those papers? They might have that information.

Of course, you can always apply for anything you want. That doesn't mean it will be approved. That's the real question--will your application be approved?

Do you mean applying for an actual credit card, or do you mean a debit card that you can use like a credit card when you go shopping?
 
Your credit record will have black mark on it for 7 years and you can't get credit card--but these days, some credit card companies will let you have credit card but with high interest rate like 17 to 20%. I dont use credit cards anymore so can't recommend you one but suggest you to look around. You can look up the major credit cards websites for fees and interest rates. Good luck! :)
 
Reba said:
When you filed for Chapter 13, your attorney was supposed to explain all your rights and responsibilities when you signed the documents. Do you still have those papers? They might have that information.

Of course, you can always apply for anything you want. That doesn't mean it will be approved. That's the real question--will your application be approved?

Do you mean applying for an actual credit card, or do you mean a debit card that you can use like a credit card when you go shopping?
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Yes, applying for an actual credit card..thanks!
 
This site has basic info:

http://www.factsaboutbankruptcy.com/Credit_Card_After_Bankruptcy.html

What Can You Do To Ensure You Receive A Credit Card After You File For Bankruptcy?

Only apply for one credit card at a time: Wait until you’ve been rejected before applying for another card. When credit card companies look at your credit rating and see that you’ve just discharged a bankruptcy they’re uneasy to offer you another credit card to begin with. When they see you applying for multiple cards they panic, thinking that you’re starting your spending cycle all over again.

Take on a high interest rate: You’ll most likely need to apply for some high interest credit cards since some credit card companies consider you high risk. Take a chance with a high interest credit card but make sure that you make ALL your payments. In fact, you’ll want to end each month with a zero balance so that creditors see the effort that you’re making in re-establishing your credit and that you are responsible enough to hold a credit card.

Get a co-signer: If credit card companies constantly turn you down see if a close friend or family member will co sign a card for you. This makes them liable for any debt but your goal is make sure that it never comes to that since you’re going to making all your payments


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What Is A Prepaid Credit Card And How Can It Help You?

You can rebuild your credit through a prepaid credit card. Although there are drawbacks that come with utilizing this type of card to reestablish your credit, it can serve your purpose. Here are some of the details:

PROS:

Easy to Get: Virtually anyone can get one, even those individuals who have recently undergone a bankruptcy proceeding. The reason for this is that you never borrow money. Instead you place an up-front amount of money on the card and you can only use that amount. Your payments are made and noted in your credit report. So if you actively use the card and make the payments in a timely manner to replenish your dollar amount, you will slowly begin to rebuild your credit.

No Interest: As noted above, you are never borrowing any money, so therefore you don't have an interest payment. The money you are using is yours!

Use Anywhere: Just like the major credit cards, you can use these prepaid cards anywhere you see your logo. Neither you or any clerk that checks you out of a store will be able to tell that you are using a prepaid card.


CONS:

High Cost: It usually costs around $5-$50 to apply for a prepaid card, and around $5 to place money back on your card. Even though this seems like a lot per charge, you are not paying interest, so keep that in mind.

Habitual Payments: It can be difficult to sign up for a monthly charge using your prepaid card. Since it is undeterminable as to how much you will have from month to month, it is hard to sign up for say a monthly subscription to something.
All is all though, a prepaid credit card is a great choice for you to turn to after you have filed bankruptcy. It will allow you to begin to restore your credit, and will also let you always know that you can not go into debt. Give it a try and practice budgeting yourself on a monthly basis and see exactly how much you can spend per month all while rebuilding your credit. After this process, then attempt to land another credit card and you'll be back on your feet in no time!
 
It's much better if you get those pre-paying debit credit cards the rates are usually lower than any credit cards where their interest rates are higher than pre-paying debit card. Don't have to worry about how to come up with a payment when it is due, You spend whatever amount on the card and this is how much you'll be spending. That's what I have. It's much easlier too, I uses those pre-paying credit cards for emergencies or bills. ;)
 
Cheri said:
It's much better if you get those pre-paying debit credit cards the rates are usually lower than any credit cards where their interest rates are higher than pre-paying debit card. Don't have to worry about how to come up with a payment when it is due, You spend whatever amount on the card and this is how much you'll be spending. That's what I have. It's much easlier too, I uses those pre-paying credit cards for emergencies or bills. ;)
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Do you have linke for pre paying debit cards? Is that bank debit card or not? thanks!
 
I prefer to stick with my checkcard...it keeps things simple!

IMHO credit cards are just too much trouble.
 
LuciaDisturbed said:
...
IMHO credit cards are just too much trouble.
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A very sensible position. Over the years, I haven't seen that many people who keep a real good handle on them.
 
Using credit cards can lead to more debt becuz of high interest rates, possible hidden fees, paying the minimum payment amount, etc.

Lots of people use credit cards to buy now and pay later...then they find out that they have fallen too far behind, so on.

Debit card is using money straight from your bank acct. so you always know exactly what you can afford to pay. Pre-paid debit cards sounds like a good idea and a good way to control your spending habits and watch your $$ balance. :)
 
sillycat said:
Using credit cards can lead to more debt becuz of high interest rates, possible hidden fees, paying the minimum payment amount, etc.

Lots of people use credit cards to buy now and pay later...then they find out that they have fallen too far behind, so on.

Debit card is using money straight from your bank acct. so you always know exactly what you can afford to pay. Pre-paid debit cards sounds like a good idea and a good way to control your spending habits and watch your $$ balance. :)
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Exactly! It's just so much more simpler to just use your debit/checkcard...
 
Yes, and believe it or not, you can buy house! Most banks would extend mortgage even as soon as 2 years after the discharge. *BUT* expect very high interest rate, and most CC would bear very high interest rate for those who done bk.
I have been there, and know this. Today creditors don't care about BK anymore.


coloravalanche said:
I filed for 13 Chapter Bankruptcy about 3 years ago. I am wondering if I could apply for new credit card that would accept that I filed for bankruptcy?

If yes, do you know what type of credit card I could apply for? thanks!
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diehardbiker65 said:
Yes, and believe it or not, you can buy house! Most banks would extend mortgage even as soon as 2 years after the discharge. *BUT* expect very high interest rate, and most CC would bear very high interest rate for those who done bk.
I have been there, and know this. Today creditors don't care about BK anymore.
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They don't care because the sub-prime lending market is VERY profitable. You can make some really good money charging people outrageous interest rates.

The problem with a bankruptcy is not only being able to borrow money, it's also the cost of borrowing money. That cost goes through the roof. One quarter a percentage point on a thirty year fixed mortgage can mean well over ten thousand dollars in profit for the lender!

Imagine what happens when your FICO plummets from 720 to 600! Lots of new quarter points on your interest there, no doubt! All that money comes from your pockets over the life of the loan.
 
I thought Chapter 13 means you will pay your debt in 3 to 5 years. Chapter 7 means you don't pay your debt anymore.
 
I use prepaid credit card with no interest pay. The reason I use prepaid credit card because of pay back points, I get from any stores. Example, the foods and drink cost $80.00 then I get 80 points. I collect until 1,000 points then I get $10 coupon for 1,000 points, $15 coupon for 1,500 points, $20 coupon for 2,000 points, $30 coupon for 3,000 points. I collect every 2 to 3 months between 1,000 to 3,000 points. Sometimes I leave points up to one year... I got remind letter from company to rid of thousands point until end of September. I will lose points if I did not get somethings or coupon before end of September. I use coupon to buy Xmas presents, foods, etc. That's why I look for pros and cons... I only pay $40 charge a year but I still get profit throught points. I know there're also in England as well but America? I don't know either Americans collect points to buy anything like this in America?
 
B I N G O!

Endymion said:
They don't care because the sub-prime lending market is VERY profitable. You can make some really good money charging people outrageous interest rates.

The problem with a bankruptcy is not only being able to borrow money, it's also the cost of borrowing money. That cost goes through the roof. One quarter a percentage point on a thirty year fixed mortgage can mean well over ten thousand dollars in profit for the lender!

Imagine what happens when your FICO plummets from 720 to 600! Lots of new quarter points on your interest there, no doubt! All that money comes from your pockets over the life of the loan.
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Well it varies every situation. Depending on situation. Back then when I file Chapter 7, I got nothing to lose so I don't see reason why I should file for chapter 13. But *IF* you have car payment, mortgage, things like that. THEN it is wise to go for chapter 13, yet you will still be able to file chapter 7 under chapter 13 if you want to. For example, If I have to file bankruptcy right now, and I gone for chapter 7, then I stand to lose my house regardless because there is "Lien" on the property, meaning bank STILL owns the house not me. So, going for chapter 13 means make an agreement with the bank to keep on payment in order to keep the house.

DefMATRIXense said:
I thought Chapter 13 means you will pay your debt in 3 to 5 years. Chapter 7 means you don't pay your debt anymore.
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very high rate of interest due you file bankurpt...
If r u planning get credit card back... gonna be 24% to 28% interest credit card.. Do you willing that high rate of interest...

and also if you wanna buying a house...
There will be always highest the rate of percentage internest mortgage... Up to your choice...

Advise, Best wait until you have to proven you're paying on the time rest of your bills and others too.. for 7 years.. til they'll re-condiser willing giving you chance....
Who knows...

btw I've been there reading whole thing about bankurpt and others kinds creditor problems... Luckily we have not made likely those.. "Almost" we are planning file the bankurput due the broker's comment about credit rate will affect your ratio will come down below stink.. hard to pull up the rating looking good.. We avoid.. and decide working our ass off payments rest of it... We are successed.... we did goes through hell lot of it.... Guess what, Our rating is I1 :)

I advise you best do all your ass off paid your debts til clear up whole thing.. proven that you're working hard!
 
I have a question for the ad hoc economics analyst (or two!) trolling AD.com forums; What if all Americans, *gasp*, actually saved and paid off all their credit cards in within one year?
 
Eyeth said:
I have a question for the ad hoc economics analyst (or two!) trolling AD.com forums; What if all Americans, *gasp*, actually saved and paid off all their credit cards in within one year?
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Er...we would be looking at a cataclysmic event for our economy. It is totally geared to people borrowing and without it...another depression no kidding!!! I can tell you right now that people would spend a whole lot less than they do now and that alone would shrink the economy. Be careful of what you ask for....you may get it!

I love the concept (we practice the habit of paying off the CC every month) but it has to be done slowly otherwise there would be an absolute mess. Without credit cards, the economy would look very different than it does today.
 
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