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    Can’t get approved

    Hi I’m 7 months post discharge and can’t seem to get approved for Any type of credit? My score has gone up significantly in the 650 range but can’t seem to get approved for anything including secured cards? Will this change at the one year mark ? Any experience in this? Thanks

    #2
    It seems like it is hit or miss. Wife was approved unsecured before discharge even complete, where I have had no such luck....

    Comment


      #3
      Originally posted by ashley90 View Post
      Hi I’m 7 months post discharge and can’t seem to get approved for Any type of credit? My score has gone up significantly in the 650 range but can’t seem to get approved for anything including secured cards? Will this change at the one year mark ? Any experience in this? Thanks
      Some secured cards are difficult, but I would wait to make sure that my credit report was as clean as possible. All discharged accounts should be IIB (included in bankruptcy) with a $0 balance and no history reporting. I would also make sure that the case is closed too (although after 7 months the bankruptcy should be reporting as closed). Also remember that many inquiries will also cause creditors to be leery of your applications.

      I suggest only trying those cards that will "pre-qualify" you without impacting your score (such as Capital One). With a 650 credit score, and I'm not sure if that's a true FICO or not, you won't get most major credit cards and most "major" bank issued cards.



      Chapter 7 (No Asset/Non-Consumer) Filed (Pro Se) 7/08 (converted from Chapter 13 - 2/10)
      Status: (Auto) Discharged and Closed! 5/10
      Visit My BKForum Blog: justbroke's Blog


      I am not an attorney. Any advice provided is not legal advice.

      Comment


        #4
        You will get a secured card at some point. Might even surprise yourself with an unsecured card. Might be good to wait some time at this point if you’ve submitted hard applications at this point. Other Lenders won’t know for two or more months if any of your applications have turned into actual credit when your creditors start reporting the line of credit.

        I had a 546 FICO score in June and got a discover secured card this month. I currently have no score because of no activity for six months (I had no nondischargeable debt).

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          #5
          Try getting the Open Sky Card I just got one tonight they don't check credit , they do want last 2 paystubs to submit to their website to show income. I also got the Greendot card.

          Comment


            #6
            I am now 18 months or so Post discharge. I will share some of my experiences that may or may not be helpful. We're all different but maybe some of this will help others-

            about a week after my discharge, i was able to get a car loan with a co-signor. I was destroyed by the Dealer on this! I will post that story separately as I think its a huge lesson for anyone!
            At about 3 months post discharge I tried to get a card. I was denied for secured credit cards. I decided to wait.
            At 6 months i got a 300 limit store card.
            At 9 months post discharge, I got a quicksilver with 2k limit. they just raised that for me automatically last month to 2.5k
            at a year I refinanced the car, on my own, half the interest.
            at 12 months i refinanced my student debt, and took out a 2nd mortgage for home repair . I did not reaffirm the mortgage, but kept the house. now, I have a mortgage reporting on my credit.


            some of my observations/thoughts/practices in no particular order to help keep out of debt:

            -if you have a student loan, the payment history stays, so that may help you, I think it did for me. stay current.
            -rates will be sky high! do not carry a balance, or you will pay dearly. resist the temptation to buy anything you don't need. If you can live without it, live without it. Having a small amount, 50-250 bucks, roll over might help you actually as it shows you can carry and keep current on a balance.
            -get a cash back card. Its awesome to see the credit card company PAY YOU! if you run 20K a year through the card, at 1.5 percent back, you just made $300. that's easy to do if you put all your expenses on it. just pay it off in full each month or you negate that pay out.
            -got a 2nd job. that is your extra spending money to pay for things you want but don't need.
            -i don't carry a balance on any card, i did this a little out of necessity a few times, but the interest is agony and no longer do it.

            Comment


            • lukesky
              lukesky commented
              Editing a comment
              You are brilliant SeekingZero, thank you for your post!

            #7
            Originally posted by sak View Post
            Try getting the Open Sky Card I just got one tonight they don't check credit , they do want last 2 paystubs to submit to their website to show income.
            +1 on the OpenSky card. Easy to get with no credit check, reports to all three bureaus, and will jump-start your credit rebuild.

            Comment


              #8
              Have you tried a store card? My wife got a Kohls card two weeks after discharge. I didn't want us to get ANYTHING for awhile but she thought she might as well try to start rebuilding her credit. I was shocked....

              Comment


                #9
                Originally posted by ashley90 View Post
                Hi I’m 7 months post discharge and can’t seem to get approved for Any type of credit? My score has gone up significantly in the 650 range but can’t seem to get approved for anything including secured cards? Will this change at the one year mark ? Any experience in this? Thanks
                State Department FCU has a secured card that almost anyone will be approved for. You can join SDFCU without any State Department affiliation by joining an organization (I forget which one offhand) and making a small contribution. The down side is that their secured cards never "graduate."

                If you are a veteran, USAA and Navy FCU have secured cards that are easy to get. Navy FCU is reported to "graduate" people after six months to a few years, depending on how rotten their credit was and how well they make their payments. I don't know about USAA.

                US Alliance FCU also has a secured card that almost anyone will be approved for.

                First Tech FCU used to have a secured card with automatic approval. I had one for a while. But back then, they didn't "graduate," and the chances of getting an unsecured card with a BK were close to zero.

                Good luck!

                Richard
                Filed Chapter 7: 8/24/2010. Discharged: 12/01/2010
                Member and Exalted Grand Master: American Sarcasm Society (A.S.S.).

                Comment


                  #10
                  Originally posted by ashley90 View Post
                  Hi I’m 7 months post discharge and can’t seem to get approved for Any type of credit? My score has gone up significantly in the 650 range but can’t seem to get approved for anything including secured cards? Will this change at the one year mark ? Any experience in this? Thanks
                  It would really help if we had more information.

                  Types of cards, credit, and/or loans that you are applying for.

                  Whether you have an established banking relationship.

                  If you have an established banking relationship with a bank, try them first. Especially if you have built up savings or checking accounts with them. They would probably be more comfortable granting a secured card if you have some savings with them. If you're declined for a card from your institution, then think about doing a secured loan against the savings to get some history under your belt.

                  Store and gas cards are next.

                  You can also try asking people to put you on their accounts as an authorized signer/user. Depending on the bank/credit issuer, they can report the history. It is a hit or miss and depends on the issuer whether they will report the payment history, but my brother added a cousin to help build her credit. About 3 months after, she started getting offers from Capital One, Barclays, and Citi. And I have heard other stories from friends, so something in the mix must be true.

                  Comment


                    #11
                    So an update on my credit approval. I was able to get three store cards and one first premier card with a 500 limit.. Im really wanting a capital one card but did burn them for 4000 last year during my bankruptcy. Does anyone know if a year would be long enough to try and be approved again?. The message I get when I apply seems to be automatic and no credit pulled.

                    Comment


                      #12
                      I've read capital one will reapprove people, but I've heard varying stories from 6 months to 3 years. I burned capital one. And citi. And comenity. And synchrony. I dont expect that most of them are going to be keen on having me back soon.

                      however, discover let me have a secured card with no annual fees. They also have a prequalifiation you can do without taking the hard inquiry. I never had a discover card that I used before. Had one a long time ago and I closed it never having used it. I seem to recall them having good customer service though and I experienced that when going through the new application. I had to provide proof of being a student for the particular card they approved me for.

                      Comment


                        #13
                        Try the My Fico forums. Lots of good information on rebuilding credit there. Credit One may approve you. Green Dot offers a no credit check secured card as well. I can confirm that Navy Fed does "graduate " from $500 secure to $2k at the 5-6 month point.

                        Comment


                          #14
                          I am three months post discharge (chapter 7). I had excellent payment history with Cap One and Discover plus other cards but went for bankruptcy due to some past creditors trying to sue me in court. I just didn't have $10K plus (with negotiating) to satisfy them (plus no ability to get a loan to pay them off) so.....anyways. Here I am, trying to get one secured card to help jumpstart rebuilding my credit, went to CO and Disc and they flatly say NADA. I did the prequalify on both sites (to save hard inquiries off my credit report) and also chatted with reps and even sent letters with replies back firmly stating, "due to past account with CO/Disc we are unable to approve any type of card for you". Well that was just a slap in my face. I wanted to reaffirm those debts but my lawyer told me I could not reaffirm any cc debt. OK, I did what I was told. I know my FICO on one report is 615 and other other two is around 650-660, that in itself shocked the crap out of me as I was 540 just prior to filing chap 7 back at beginning of summer). I am a member of a credit union and have been for 15 years, but they do not offer any type of secured credit card. Sorry I am just being whiny here folks. I get great info off of this site and love reading experiences of others. Thanks for listening.

                          Comment


                            #15
                            Go to a different Credit Union (CU). Most are much more amenable to share secured credit cards.
                            Chapter 7 (No Asset/Non-Consumer) Filed (Pro Se) 7/08 (converted from Chapter 13 - 2/10)
                            Status: (Auto) Discharged and Closed! 5/10
                            Visit My BKForum Blog: justbroke's Blog


                            I am not an attorney. Any advice provided is not legal advice.

                            Comment

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