Everyong is saying yea go for it and apply for credit cards again after some time with a rate of 25 to 30 percent interest..Yikes!!
Has anyone ever filed bankruptcy?
- Thread starter Nic
- Start date
by speaking of a system from 7 years ago you're not making sense. the bankruptcy status stays on your record/credit report for 7 years and the rates are 100% unbearable for most people. how about thinking in realistic terms, if you buy a car today in this market you get a rate of 3-6% on a loan but with bankruptcy it will be 15-23% typically. that is a huge difference and would qualify as "uber high % rates"
Kobeclone;2010976; said:
Do you think most people do? Especially for people who filed for bankruptcy???
Kobeclone;2010980; said:You are lucky to get a rate of 7 or 8% with good credit in today's market...
ha seriously! unless your buying a POS chevy ford or dodge; theyre practically trying to give them away!
Kobeclone;2010980; said:
That is the avearge for people with a good credit score...
MD123MD;2010969; said:
I'm speaking from the bankruptcy system of 7 years ago.. when this particular person applied and got a car loan from a bank with a very good rate it was months after bankruptcy, and apartment agreement within a year or two.
No one is saying "go for it".. It's a decision he needs to make with his lawyer factoring in his debt/income ratio. He may find something like CCCS is more a better option. All I'm saying is bankruptcy is way recoverable. And that bankruptcy doesn't have to mean 30% interest rate credit cards and not getting approved credit for years..
Look if you have a good credit score, you are qualified for lower interest rates and banks will give you credit..If your credit score is bad, you probably would not get low interest rates and there is a question mark on loaning you money...Bankruptcy will lower your credit score..
Not too difficult to understand..Probably people are going to disagree with me on this also...
Not too difficult to understand..Probably people are going to disagree with me on this also...
I declared bankruptcy when I went through divorce. I simply couldn't manage the debt load we had incurred as a couple and I was strongly advised by a bankruptcy trustee to file. I'm not going to go into all the details and I did declare in Canada so there will be some differences in the process where you live.
I will say this much and I know it to be fact:
If you write off a certain debt with say, a credit card company and they lose several thousand dollars, you can bet that they will NOT give you credit ever again.
If a bank loses money, they will keep the fact on record for ever and ever and while they may be prepared to lend you money again, you will not see anything close to the prime lending rate. They will punish you.
The bankruptcy goes on your credit report for a period of 7 years, but there is nothing to prevent a creditor who was burnt by you to continue to keep their info on your credit report for much longer than 7 years. They just have to pay a few bucks to keep the info there after 7 years.
You can expect to pay several thousand dollars to file bankruptcy. Trustees make very good money.
While the bankruptcy trustee may present as being "your friend" through this ordeal, they really aren't. Their job is to represent the creditors.
You can expect the bankruptcy judge to make you pay some of the debt back as part of your discharge plan. If you're currently working, plan on it. Except for the rarest of circumstances, you will be viewed as someone who was irresponsible with credit and money and they will not easily let you off the hook.
In Canada, student loans cannot be written off through bankruptcy.
If you do decide to file for bankruptcy, make a very thorough list of current assets and ask what happens to them before making the final decision. I "misunderstood" what was said about a car I owned outright and lost the car to seizure. It was worth about $8K and they seized it and sold it for $1200.00 and thats what was credited against my debt. Had I really known, I would not have declared bankruptcy.
All in all, my non-legal advice to you is to avoid declaring bankruptcy if it's at all possible. You can get relief through loan consolidation.
I hope that helps.
I will say this much and I know it to be fact:
If you write off a certain debt with say, a credit card company and they lose several thousand dollars, you can bet that they will NOT give you credit ever again.
If a bank loses money, they will keep the fact on record for ever and ever and while they may be prepared to lend you money again, you will not see anything close to the prime lending rate. They will punish you.
The bankruptcy goes on your credit report for a period of 7 years, but there is nothing to prevent a creditor who was burnt by you to continue to keep their info on your credit report for much longer than 7 years. They just have to pay a few bucks to keep the info there after 7 years.
You can expect to pay several thousand dollars to file bankruptcy. Trustees make very good money.
While the bankruptcy trustee may present as being "your friend" through this ordeal, they really aren't. Their job is to represent the creditors.
You can expect the bankruptcy judge to make you pay some of the debt back as part of your discharge plan. If you're currently working, plan on it. Except for the rarest of circumstances, you will be viewed as someone who was irresponsible with credit and money and they will not easily let you off the hook.
In Canada, student loans cannot be written off through bankruptcy.
If you do decide to file for bankruptcy, make a very thorough list of current assets and ask what happens to them before making the final decision. I "misunderstood" what was said about a car I owned outright and lost the car to seizure. It was worth about $8K and they seized it and sold it for $1200.00 and thats what was credited against my debt. Had I really known, I would not have declared bankruptcy.
All in all, my non-legal advice to you is to avoid declaring bankruptcy if it's at all possible. You can get relief through loan consolidation.
I hope that helps.
