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How bad is bankruptcy?

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Registered User
What is the name of your state?NY

I've heard bankruptcy is disastrous. I know a guy who filed for bk 10 years ago and STILL can't get even a credit card. Is this what i have to look forward to? Is buying a house in the next two years just out of the question?


Senior Member
No, if he has been out for ten years and still can't get a credit card, it's because of his credit since then. Don't get me wrong, it looks bad, but could look worse. There are mortgage places out there that cater to people who have filed bankruptcy, usually for a slightly higher interest rate. Banks will also loan. Start small and rebuild your credit.


Junior Member
increase credit score really fast!

Get a good lawyer and include EVERYTHING! you can include past due utility bills, fast cash loans, and pretty much anything non-government ie. taxes, student loans and so on. DO NOT FILE ON BAD CHECKS OR THE BANK! you will not be able to get a checking account for 3-7 years if you do. at least in Indiana. as for getting loans after your chapter 7 it all depends on your credit score. my parents filed and have a score of 600-650 and got a higher interest loan 4 months after filing. the rate is somewhere around 8%. if your credit score is below 600 your stuck. there are websites on the net of how to legally raise your credit score very fast. one which I know of which is perfectly legal(in indiana) is this.

1. Deposit 600.00 into a savings account.
2 surrender your withdraw ability to the bank, and take out a loan for 550.00
3 deposit this into another savings account at a different bank.
4 surrender your withdraw ability to the bank, and take out a loan for 500.00
5 pay the loans back ON TIME every time for three months. you'll pay about 70.00 a month for this. after three months you've paid it down about 50.00 lower than what is in your surrendered bank account. use that money to pay off the loans. t
6 you have established 2 banks that say you pay as agreed. you can do this forever and consider it a credit rebuilding insurance. after 6 months your credit will be up 100 or more points. that will show lending instutions you learned from your "mistake".

for the record I am not a lawyer. I have never tried this. it makes good logic but I'm to broke to try it. do not frget to ask yur bank about early payoffs. if you cant get a loan against your saving account from the bank try second hand lenders ie. morris plan, citi bank, ect.

Who's Liable?

Senior Member
If your friend still can't get a credit card 10 years after he filed BK, it's not because of the BK, it's because he still has the same money habits from before his BK and didn't learn anything...

BK is NOT the end of the world... You can buy a home within 8 months after your BK is discharged, the interest will be a little higher, but it;s to be espected... After 2 years, you can get a home loan with the same interest rates as everyone else...

The main thing is you need to learn HOW and WHY you are filing BK... Medical bills are one thing, but high CC balances is something you control everyday...


Registered User
Basically, my credit is fine. I don't have any credit cards or loans or car payments or anything like that. What i do potentially have is a crushing 30k medical bill coming my way. I'm done if medicaid wont cover me. Bankruptcy is the only way out.

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