Converting 13 to 7--Credit Report Change?

[inseriousdebt]

We are potentially going to be going through a conversion from 13 to 7 in the next month. I am wondering how this affects my credit report? Will the scores stay pretty much the same with the change, or will they take a dip again? Any information would be greatly appreciated! Thank you.

[inseriousdebt]

Conversion people...

Has anyone out there been in this situation of converting from 13 to 7?

[Logan]

When you have a late charge, collection, judgment, BK etc. assuming you begin to pay everything on time the the further you are away from the event the better your score becomes.

If you filed Chapter 13 6 months ago then your 6 months into a better score. If you file Chapter 7 it becomes current and should affect your score. Hopw that makes sense.

I wouldn't worry about your score at this point. Get through your BK then you can work on your credit score.

Logan

[inseriousdebt]

Leased car

The reason why I was wondering was because if we convert soon this summer, I wanted to know how long I will have to kind of 'build back up' my credit if this happened. I have a leased car that is due back at the beginning of next year and this worries me.... I need a car for work in the future.

[Logan]

Can you extend the lease? If not, getting a car won't be a problem. It's the interest rate that will be the problem.

Logan

[inseriousdebt]

Extending lease ?

Exactly...that is what I was worried about...the interest rate. I have never thought about extending a lease. Any insight on how you go about doing something like this? Thanks.

[katze]

The bank sent me a letter about 6 months before my lease was up and explained all the options available. I ended up buying my truck at the end of the lease because it was worth more than I had to pay.

[cso5@]

I asked....

I am about a year into my 13. I asked about converting...thinking, I am under the median, I could convert, walk away from my house, my car...and start over again, after a 7.

Ok, so it was a moment of totally wishful thinking. But I was curious enough to call my attorney.

He said, no deal, Cat. As long as you have disposable income, you are in your 13.

So, not sure if that's your situation too, but I thought I would share what I had found out.

Cat