Life After BK, and a few questions

[rockygirl]

We filed for BK last fall (05)and everything went off more or less without a hitch. It was very stressful, but we survived. Most of our debt was medical, but it did include a fair amount of credit card and some loans, and a retirement loan, to pay credit cards off. We did not get to discharge the loans on the retirement. everythig else was discharged. I had a student loan which they did not discharge, but i am unable to work and I was able to get it discharged by the Federal government (it took 3 yrs, final d/c date 10-05). If you think BK is hard, try getting a student loan discharged-man that is awful We live in a state (Texas) that allows us to keep the car (if we make payments), we signed papers that allowed us to just continue making payments. we decided to do that b/c the car is close to being paid off (5- 07) and our state does not allow us to keep the car unless we do this. Otherwise we would have just had to give the car back. We are happy with the car too. We have received a lot of mail from credit cards, car dealers, all of them with high interest and lots of other fees. I have just stopped looking at them, I just toss them. Some of the letters we receive tell us that we may think our repaying the car is good, but the letters all say that car payment repayment after BK does not show up on your credit report as good credit. Is this true?

We are living on a cash basis, expect for the usual utilites, car insurance, ie. We have not had problems with our car insurance (i've heard some had their rates raised, but we have stayed with our insurance co, so far, so good). We have made our car payments on time, as we did before the BK.

I have not checked our credit report yet, I knew it would take a while for the dust to settle. It has been slightly over a year now, and we are considering credit cards again ,or possibly another car. There probably is a few mistakes on the credit report, but I'll attempt to clear them up. I have forgotten how to contact the credit reporters, and wonder if anyone has a quick link to them all? I was bothered by a few collectors after the BK, some people just refused to accept the BK. However, they have stopped now. The most relentless have been the medical bill collectors. Also, people we once had credit cards with have offered us another account, but I am not touching it yet, I fear they may try and add the amount we owed them previously the new account. Prior to BK discharge, someone tried to do that. We noticed this right before the discharge, and for about 3 moths afterward. I called our lawyer and they confirmed people do this, and it is illegal but they do it anyhow. Very sneaky people, trying to get you to accept responsibility for the Discharged debt. This actually happened with labcorp, I was on the phone with them regarding filing for a current bill and they slyly mentioned this and before I knew what date it was, they had corhersed me into paying this. I do not intend to, I will just have to put something on the credit report telling them what they did.

MY BIG QUESTION

We owed a few catalog debts, women's clothes. The amounts are not big. They were discharged no problems, they have never bothered us. However, prior to me even filing for BK, I tried to buy clothes from them, with my debit/other credit card that I was current on/and they refused to accept it. They said I owed money on this account and would not let me buy anything, other major credit cards, ie (pay for the itmes with a visa) If I was not going to pay the account they were not going to accept another credit card from me to pay the bill. I thought this was very odd, one thing had nothig to do with the other, but to them , I had an account, and if i was not going to pay it, they were not going to let me buy anythig from them . They are a major catalog retailer, so it is not just some mom/pop shop.

So now it is a year later, I'd like to buy from them using cash-ie debit card or check. I have not attempted it, but based on prior efforts, I feel intimidated a bit. They called it something akin to fraud before the BK discharge. I don't agree with that, just b/c i owe money on one account does not mean my attempts to buy from (especially cash) them are fraud. However, they felt so. (i can't recall what they called it, it was not fraud, but sounded pretty close to me)

So can I buy from these folks? Can they refuse to sell to me, now that t I have a legitimate discharge that apparently they did not dispute?

[elyse449]

I'm no BK attorney, but I've been thru a BK (it was dismissed) and I was able to "re-affirm" debts that I had been up to date on, perhaps that is what was done w/ your car? If that's the case, I thought those report normal with maybe a notation that says it was "included in chapter whatever...?" Not sure.

Anyway, I just wanted to applaud you folks for making it through and keeping your chins up.

As far as buying from the place that was so obviously angry at you for filing BK (and honestly, who the heck cares-this shouldn't be personal!)...you said;

"However, prior to me even filing for BK, I tried to buy clothes from them, with my debit/other credit card that I was current on/and they refused to accept it...." and, "They said I owed money on this account and would not let me buy anything, other major credit cards, ie (pay for the itmes with a visa) If I was not going to pay the account they were not going to accept another credit card from me to pay the bill."

Yes, that's very odd. I wouldn't bother doing business with them--ever.

You then said; "but to them , I had an account, and if i was not going to pay it, they were not going to let me buy anythig from them."

Ok, that makes NO sense. You offered to make a payment, they said "no" you then try to buy other stuff from them and pay with a debit card and they said "no" to that because you wouldn't pay the credit acct you had with them that they refused payment for?

I wouldn't bother doing business with them again. They aren't required to do business with you and you aren't required to do business with them. Although I find it a bit petty of them to not accept even OTHER forms of payment from you. How could they expect you to decide against BK if they weren't willing to accept your payments? Maybe there's something I'm missing. Either way, I'd find a new place to shop.

Best wishes, Elyse

[LNY]

If I understand correctly, you owed them money already that was past due, and then you tried to buy more clothes. They said no.

That's pretty common. If you, say, try to take an ad out in a magazine when you never paid for the last one and still owe them money, they won't accept your new ad. BUT I put a Victoria's Secret card in my BK, and afterwards I was able to buy my sister a Christmas present from their catalogue using a debit card. Because since the debt was discharged, I didn't owe them money anymore.

As for some of the other stuff, no one can come after you for a discharged debt, PERIOD. So they're not going to try to trick you into applying for a new card just so they can get the previous debt from you. They're offering you a chance to rebuild your credit. If you live cash-only after your BK, you will never rebuild your credit. There is much on this site (esp. this Bankruptcy forum) regarding that, take some time and look around.

And please, get all three of your credit reports before you do or assume anything else!!

[rockygirl]

re-affirm, yes that is what we did with the car, b/c texas does not allow you to just list it like other debts. You can re-affirm, or lose it. That's the choices. But they have somewhat friendlier "homestead' laws. Anyway, it was all discharged and over last october. So glad, we were at the hair pulling stage before it was over. the lawyer said those people were indeed trying to pull a fast one , trying to get us to accept respoknsibility for a debt that was to be discharged. I could hardly believe it. ( i faxed him the letters, he said-tear them up)

That is odd about the car payments after the discharge. All the "bait" letters we have received all say the same thing, "ie "ford" or whomever, does not report that you are making your payments on time with a re-affirmed loan.. they all say that if you want this, you will have to get another car loan, one after the BK and make payments. We will see. I will find out from the dealer, and check the reports.

anyway, time to get back on the horse, and if i find a decent offer in the credit card maze that does not involve trying to get the equaitiy to my home, i wiill try one out. I'm not jumping too fast b/c we were never very good with managing credit card debt and i do not want to get into trouble again and 6 rs from now be filing for a BK again. (we did a ch, 7 right before the deadline last year)

and i'm going to buy from that catalog sales company. Or attempt to.

Life indeed does go on and i hope all thise sweating it out now will take solace in that.

RG

[LNY]

re-affirm, yes that is what we did with the car, b/c texas does not allow you to just list it like other debts. You can re-affirm, or lose it. That's the choices. But they have somewhat friendlier "homestead' laws. Anyway, it was all discharged and over last october. So glad, we were at the hair pulling stage before it was over. the lawyer said those people were indeed trying to pull a fast one , trying to get us to accept respoknsibility for a debt that was to be discharged. I could hardly believe it. ( i faxed him the letters, he said-tear them up)

That is odd about the car payments after the discharge. All the "bait" letters we have received all say the same thing, "ie "ford" or whomever, does not report that you are making your payments on time with a re-affirmed loan.. they all say that if you want this, you will have to get another car loan, one after the BK and make payments. We will see. I will find out from the dealer, and check the reports.

anyway, time to get back on the horse, and if i find a decent offer in the credit card maze that does not involve trying to get the equaitiy to my home, i wiill try one out. I'm not jumping too fast b/c we were never very good with managing credit card debt and i do not want to get into trouble again and 6 rs from now be filing for a BK again. (we did a ch, 7 right before the deadline last year)

and i'm going to buy from that catalog sales company. Or attempt to.

Life indeed does go on and i hope all thise sweating it out now will take solace in that.

RG

Remember that acquiring credit cards for the purpose of rebuilding does NOT have to involve running them up. The smartest thing to do is set up a small recurring charge on them, maybe a newspaper subscription or other small bill. Then put the cards in the "sock drawer," as we say here. Keep one card out if you like, and use it for the occasional tank of gas instead of a recurring charge. Keep in mind that getting credit doesn't automatically mean using credit. It's for strategic purposes only, because you MUST rebuild after your BK. Before you know it, it will be 5 years down the line and you'll have decent credit again.

We're here to give you the courage to get back on the horse... and then not be thrown by it.

PS: Before you take ANY credit card offer, come here for guidance first. Post questions in the "Obtaining Credit Cards" forum after doing a search and reading as many threads as you can find on the card, and others' experiences with it. But before you do anything at all, GET YOUR REPORTS! Errors will have to be fixed before you can apply for anything.

[vsjhoc]

We have received a lot of mail from credit cards, car dealers, all of them with high interest and lots of other fees. I have just stopped looking at them, I just toss them.

Please make sure you shred these mail offers rather than just throwing them out. A VERY common way for ID thieves to get your info is by dumpster diving.

[ShineOn]

try this if you have not had one pulled in the last 12 months:

https://www.annualcreditreport.com/cra/index.jsp

To Request your Credit Report by Phone:

Call 1-877-322-8228

You will go through a simple verification process over the phone.

Your reports will be mailed to you within 15 days allow 2-3 weeks for delivery.

its free, no strings or memberships and you can dispute online things that should be included in your BK or anything else,

except inquiries.