Tuesday, June 17, 2008

The Credit Offers Continue

In my mail this past month, a total of 5 credit offers, 2 for a credit card and 3 for car loans. I have dutifully shredded all of them. The interest rates and terms were insane. Once I get the guts to pull my FICO score (I swear I'll do it soon, I have to get a "baseline" post BK and I will share with all of you), I'll go back and research secured credit cards.

What I still find insane is that banks and lending instutions, even in this economy are offerieng credit to people with bad credit histories. Lets face it, I'm bankrupt, discharged, but bankrupt and I still get credit offers on a weekly basis. These folks knew about the discharge before I did, someone must troll the court records on a daily basis to gather names and addresses.

My grand plan is to put my cell phone on auto debit to the secured card. I don't use my cell phone all that much (I don't have great reception in my area so I don't use my phone all that much).

Everyone,well the financial bloggers and writers that I think have some serious street cred, all say the best way to inprove your FICO post BK is with a credit card that reports to the credit bureaus and an installment loan. I got the installment loan with the car, now to get a credit card.

I did check with my credit union and they don't offer a secured credit card. I would have liked to use them as I want to use them to refinance my car loan later this year. I'm doing my research and almost all the secured credit cards have a "set up fee", yearly fee, kinda high interest rates, fees for increasing your credit limit, etc.

Since I'm doing OK on a cash only basis (and had been on a cash only basis for a couple years prior to the BK, I'm not looking to use a credit card to get back into the situation I was in. Which was way over my head and out of control when life interviened and my rates sky rocketed. I would like to see my FICO score make some upward progress.


Anonymous said...

Great post!
I got my discharge 5+ years ago, and now have a fico score (according to a card that gives it for free) of 750+. The first card post-BK was preapproved less than a year after discharge. It's unsecured, $45 annual fee, reasonable interest rate. I got another card about two years later (preapproval in mail, decent interest & annual rate). If you can wait a year, I suspect you will get a preapproved for a decent unsecured card. The only thing I had going was a student loan that I paid through the BK, and good credit prior to going totally under. These are the only cards I have - paid in full each month (when used), and I toss the many preapproved offers I get (even though the interest rate is better, I do not plan to carry any debt for more than a month, so it does not matter to me). I've done nothing else in terms of credit repair.
Good luck, it sounds like you are doing a great job of getting your finances in order for the future.

Bouncing Back said...

I can wait and probably wait a few more months. I just want to make sure I take all the right steps towards a better fiscal future. I do have the car loan and my student loans,so I hope the regular and early payments help the score.

Anonymous said...

Capital One offers secure credit cards - at least in Canada. I'm going to have to file for bankruptcy next week and will need a secure credit card to pay for hotels and car rentals related to business travel. And access to my kids. The tough part will be convincing the trustee to let me keep a secure card with a reasonable limit...

Anonymous said...

I am rеgulаr visitοг, hoω arе yοu everybody?
Thiѕ articlе posted аt this website іs in faсt

Feel frеe to surf to my ωeb sіtе; fast and easy loans

Anonymous said...

Ӏt's hard to come by educated people about this topic, however, you seem like you know what you're talking аbout!

Havе a look at mу web page - best loan deal

Anonymous said...

I love it whenever people get togеtheг
and sharе views. Gгeat blog, κeep it

Alѕo visit my blog post :: Best Value loans

Anonymous said...

Grеаt aгticlе, just what I needed.

Also viѕit my blog ... personal loans

Anonymous said...

After looking into a few of the blog articles on your web
site, I truly like your technique of writing a blog.

I book-marked it to my bookmark webpage list and will be checking
back soon. Please visit my website too and tell me your opinion.

My blog :: celebrity news

Anonymous said...

Οne saggy bоob saіd to the other droopу boob: 'If we don't get any support ѕοon, people wіll thіnk we're nuts."

Here is my homepage: cheap personal loans