Does anyone know what Providian open acc would do during BK?

[pamelabe]

Does anyone know what Providian open acct would do during BK? I am filing right now but have a balance on Providian of 4500. My score is decent (665). I am filing because I have 3 others totalling 20k and MBNA wont settle.

Id like to keep my score as high as possible so I want to know if I should close my acct with Providian as its a matter of time before they find out Ive filed BK. How much impact will me closing the acct vs them closing the acct? Does anyone know? I am wanting to continue to pay them off if the judge lets me.

And does anyone know how much if they will jack my interest rate from 7% up to?

[willingtocope]

Paying off one CC right before filing could be construed as "preferential treatment" and might raise some red flags for the BK trustee. Even if you do manage to have it slip through, Providian will probably get wind of your BK and cancel your card anyway.

IMHO, you'd be better off to include Providian in the BK...and then open a checking account with a debit card attached for those places where you need to "charge" something.

[pamelabe]

I wanted to continute to pay Providian because I felt responsible to the debt I accrued. I do have enough money from my paycheck to continue to pay my car and Providian. I am trying the way of ethics here. MBNA, AMEX and First USA who did not and still wont deal or settle with me are the reasons I am filing (MBNA has a judgement and froze my accts) BK. And not for any other reason.

Im just trying to sure up my fico before the BK. I hear you when you said dont pay Providian before I file, but I still want imput on what I do with them during and after I file (providing the judge allows me to keep paying them) to not hinder my score anymore. Does that make sense?

If after I close Providian, and if they jack my rate to 24%, when can I make a large payment to pay that off so I wont get in trouble after BK?

Just curious, why do you think its better to include Providian in the BK? And what is IMHO? sorry Im a bit new to this.

Thanks for your help,

Pamela

[willingtocope]

IMHO = In my humble opinion...

Well, declaring BK, you're scores are going in the toilet. Nothing you can do will make that better, so don't worry about those.

It is admirable to want to pay your debts, but....WilingToCope's Sermon #1....if any of your debts have reached charge off (CO) status, then the US Taxpayer has already compensated the Credit Card (CC) company for their "Loss". If they've been turned over to a Collecation Agency (CA) then those guys paid pennies on the dollar for the right to continue to hassle you...you don't owe them a thing. Fight back...paying those guys will just give them the resources to aggravate someone else.

If you feel particularly guilty or some sort of loyalty to one CC more than the other...don't. They all work the same...they will all treat you the same...and actually, in my experience, Providian is only one step up from MBNA. The only reason Providian hasn't snatched your bank account is because MBNA has already done it.

Assuming you didn't run up your credit cards with multiple trips to the Bahamas or at the tables in Las Vegas, then you're probably like the rest of us. Trying to make ends meet...keep your family fed...keep the car running...fix the roof...whatever...just trying to survice in an economy thats stacked against us.

Take some of the blame...but don't keep beating yourself up over it. File your BK, list all your debts, and make sure you don't ever have to do it again.