Just filed Ch. 7 but will I be banned from banks for life?

[CCsAreEvil]

After months of agony and all that being unemployed and in major debt after years of debt accumulation, we finally filed last week.

We were sitting on over $100k of unsecured CC debt, upside down on our primary residence by about $100k (because we took out a HELOC to help consolidate our debt... duh, it didn't help), and the housing market went south. So, our net worth is > -$200k or so.

Anyways, we had several credit cards with most of the major banks. We did find one major bank we had no association with and opened a new checking with them.

I was wondering if once you've filed BK with a creditor/bank, would you ever be able to do business with them again or do they ban you forever?

[backtoschool]

After months of agony and all that being unemployed and in major debt after years of debt accumulation, we finally filed last week.

We were sitting on over $100k of unsecured CC debt, upside down on our primary residence by about $100k (because we took out a HELOC to help consolidate our debt... duh, it didn't help), and the housing market went south. So, our net worth is > -$200k or so.

Anyways, we had several credit cards with most of the major banks. We did find one major bank we had no association with and opened a new checking with them.

I was wondering if once you've filed BK with a creditor/bank, would you ever be able to do business with them again or do they ban you forever?

Some banks are bk friendly and will do business with you post discharge. (capital one comes to mind, both the bank and the credit card...) Citi and amex are very bk unfriendly and keep a blacklist for years.

Since chase is now about 4 formerly large banks, so I have no idea what they do anymore.

A lot of people go to credit unions post bankruptcy and gradually build a relationship with them. Many credit unions will extend credit several years post bankruptcy if you build a relationship with them right after discharge.

[brokeasajoke]

I hung onto one of my Wachovia accounts. I've had the account since 1991, all my bill payment stuff is with that account. I have not had any issues. I did draw down all my funds prior to filing but since filing have deposited a few thousand $$ to pay mortgage and car payments.

They were included in my BK to the tune of 30,000.00.

I have opened an account with the state credit union. DW really wants to ditch Wachovia altogether. (The rate jacking and credit line decreases really pissed her off.)

[Never_Again]

Are you talking about a bank for checking/savings accounts, or for credit card or other debt?

From what I have heard, many (most) keep blacklists for lending. As for deposit accounts with banks that you have bankrupted on, after your filing, you should be fine as far as deposit accounts. My post filing course actually suggested going back to those banks, to attempt to rebuild. It is not something that I have done, as it just didn't seem natural to me.

[southernbelle]

IMO, credit unions are the most BK friendly and offer better rates to help rebuild credit. You'd be surprised at how BK friendly cu's really are - it's like they have a common sense department that doesn't only look at credit scores but the totality of your circumstances to make loans.

Amex and Discover are REALLY BK unfriendly.

[OhioFiler]

Unless you have a history of unpaid bounced checks most any bank will take you as a checking/saving account client.

Too often we think these banks have a personal vendetta against us because we "screwed them out of a lot of money." This simply is not true. This is all just business for these banks. They'll gladly take your deposits because this is money they get to use as reserves for their lending to other clients.

[CCsAreEvil]

Had 341 meeting on Friday. Overall, went ok.

Meeting my attorney right before, the biggest thing he said was the UST would probably question why I want a ridethru with my primary residence if I haven't been working for so long. My income/expense ratio was so disproportionate (way under). He said it could be an issue that my parents were paying my mortgage payment.

After the 341, my lawyer said we "skated" by that. He was sure the UST was going to ask about how I'm living day to day, but he never did. UST got distracted on a couple of thousand shares I had listed, and that's all he mainly asked about. Fortunately, I had the proper document correspondence from my former company where I had purchased shares from.

Long story short, company was paying out to primary venture capital any funds received from a lawsuit. Common stock shareholders would only receive funds after the initial venture holders were paid out. So, I have yet to see a dime from this. And probably never will. There's always a chance a couple of few years down the line. Value would be probably a couple hundred dollars (shrug). But my attorney said it should be no issue.

So, about this "60 day club" thing.. my attorney said it's 90 days here in Arizona. I don't know why that is.. but I did look at a friend's BK case.. and it wasn't discharged until 90 days after his 341.

So, it's sort of a relief.. but now, just waiting for the discharge.