Credit score after bankruptcy

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Replied by FrankN on topic Credit score after bankruptcy

Is anyone or any one you know in process of bankruptcy? It would be great to hear your story and see what kind of credit score they are seeing during the process.
1 year 6 months ago #1

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Replied by FrankN on topic Credit score after bankruptcy

Lexie wrote:

Goldbug wrote:

Lexie wrote: We didn't try FrankN. We just assumed that we couldn't get any. Plus the fact we were so embarrassed to be in this situation we just didn't want anyone to know what we were going through. Definitely a dark time in my life.

That sounds hard, but you definitely did the right thing avoiding credit. There are people who will extend credit to bankrupts, but in general the interest rates are extortionate and it makes it even hard to get out of bankruptcy. You must be so glad that is behind you.


We are very glad it's behind us Goldbug! We have established good credit now and pay off those bills every month. I will admit it was a long time before I ever applied for another credit card. Cash was working just fine. However, the credit card is a very convenient tool. You just have to be very careful with them.


Glad you have applied for other credit cards and pay them off every month now.
1 year 10 months ago #2

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Replied by Lexie on topic Credit score after bankruptcy

Goldbug wrote:

Lexie wrote: We didn't try FrankN. We just assumed that we couldn't get any. Plus the fact we were so embarrassed to be in this situation we just didn't want anyone to know what we were going through. Definitely a dark time in my life.

That sounds hard, but you definitely did the right thing avoiding credit. There are people who will extend credit to bankrupts, but in general the interest rates are extortionate and it makes it even hard to get out of bankruptcy. You must be so glad that is behind you.


We are very glad it's behind us Goldbug! We have established good credit now and pay off those bills every month. I will admit it was a long time before I ever applied for another credit card. Cash was working just fine. However, the credit card is a very convenient tool. You just have to be very careful with them.
1 year 11 months ago #3

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Replied by Joker on topic Credit score after bankruptcy

I read that some companies would rather you have a bankruptcy instead of default accounts. These companies know that you cannot declare again for 7 years so it is felt that if credit is extended, you will be more likely to pay. I don't know how, but some people get right back into the same situation again. Lesson not learned?
2 years 1 month ago #4

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Replied by FrankN on topic Credit score after bankruptcy

Lexie wrote:

FrankN wrote: LEXIE, were you able to obtain any credit during those 7 years?


We didn't try FrankN. We just assumed that we couldn't get any. Plus the fact we were so embarrassed to be in this situation we just didn't want anyone to know what we were going through. Definitely a dark time in my life.


I completely hear you. I am really sorry to hear you had to go through that, but I am also very glad to hear you made it out and it sounds like on a great financial path.
2 years 4 months ago #5

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Replied by Goldbug on topic Credit score after bankruptcy

Lexie wrote: We didn't try FrankN. We just assumed that we couldn't get any. Plus the fact we were so embarrassed to be in this situation we just didn't want anyone to know what we were going through. Definitely a dark time in my life.

That sounds hard, but you definitely did the right thing avoiding credit. There are people who will extend credit to bankrupts, but in general the interest rates are extortionate and it makes it even hard to get out of bankruptcy. You must be so glad that is behind you.
2 years 5 months ago #6

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Replied by Lexie on topic Credit score after bankruptcy

FrankN wrote: LEXIE, were you able to obtain any credit during those 7 years?


We didn't try FrankN. We just assumed that we couldn't get any. Plus the fact we were so embarrassed to be in this situation we just didn't want anyone to know what we were going through. Definitely a dark time in my life.
2 years 5 months ago #7

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Replied by FrankN on topic Credit score after bankruptcy

LEXIE, were you able to obtain any credit during those 7 years?
2 years 6 months ago #8

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Replied by Lexie on topic Credit score after bankruptcy

I don't know how it works in Canada, but in the US 7 years is the minimum bankruptcy stays on your credit score. We've been there, done that and we did go through a bankruptcy lawyer/counselor. You really have to be careful for those 7 years too. I remember us paying cash for everything and cutting up all of our credit cards. We're good now and have excellent credit. It just takes time.
2 years 7 months ago #9

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Replied by Goldbug on topic Credit score after bankruptcy

peter105 wrote: I am here to discuss something about bankruptcy. In a blog, I read that bankruptcy is the right choice when you feel you are in a serious financial crisis ( http://www.billfixer.com/bankruptcy/when-is-bankruptcy-the-right-choice-for-you/ ). Also, it will help for a fresh financial start. I have some queries regarding this. In my knowledge, filing bankruptcy will affect our credit score. How long does bankruptcy stay on my credit report in Canada? How can I repair my credit score after bankruptcy?

Bankruptcy stays on your record for years, the exact time depending on the amount and type (in the US chapter 7,11,12,13), and I think it is the same in Canada. Repairing your score means getting a low level of credit like a credit card with a $100 limit, proving you can use it responsibly and building it up that way. Bankruptcy is not something to considered easily though, and get professional advice first as there may be better ways to manage or restructure your debt.
2 years 7 months ago #10

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Replied by FrankN on topic Credit score after bankruptcy

Bankruptcy is a very very serious thing and you should not take this decision lightly. I would recommend talking with a debt counselor (who has good reviews or trust) to fully understand your financial situation and option first. Bankruptcy is not a reset button and is on your record for a long time.
2 years 7 months ago #11

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Credit score after bankruptcy was created by peter105

I am here to discuss something about bankruptcy. In a blog, I read that bankruptcy is the right choice when you feel you are in a serious financial crisis ( http://www.billfixer.com/bankruptcy/when-is-bankruptcy-the-right-choice-for-you/ ). Also, it will help for a fresh financial start. I have some queries regarding this. In my knowledge, filing bankruptcy will affect our credit score. How long does bankruptcy stay on my credit report in Canada? How can I repair my credit score after bankruptcy?
2 years 7 months ago #12

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