Florida Bankruptcy Services - Chapter 7 Bankruptcy Petition Preparation
House Calls
Available Upon Request
727-322-5881
Reestablishing Your Credit
It is essential that
you establish good credit immediately upon filing bankruptcy. The
easiest way to do this is to apply for credit cards. Use
your new credit cards wisely and within a year or so you may qualify for
a better job, a home mortgage, cheaper car insurance, educational loans,
etc.
Unfortunately, only a handful of credit card companies will be able to help you establish credit
after you file bankruptcy. These cards
usually have low credit limits, outrageous card issuance fees, and high interest
rates but this is normally the only way you can reestablish your credit other
than getting a secured credit card from your bank.
Your credit score will increase dramatically if you use your credit cards
wisely. Pay your monthly minimum amount due on time. This should be done
through online banking. About a week or so
later, make another payment. Always carry over a balance and never use the
cash advance feature.
CREDIT CARD ISSUERS:
First Premier Bank
Household Bank
Cross Country Bank
First
National Bank of Marin
Mortgage Lenders
Have you been turned down
by a mortgage company due to too much debt?
You can purchase a home after bankruptcy! The lenders listed below specialize in obtaining
mortgages for people who have eliminated their debt by filing bankruptcy
or have less than
perfect credit. The interest rates are higher than
the norm, but you can get a home mortgage through these companies.
All you need do is make
your payments on time for approximately a year or so and your credit score will
increase dramatically. This will qualify you to refinance your
mortgage at a lower interest rate through your local bank or mortgage
lender, thus reducing your mortgage payment by leaps and bounds.
MORTGAGE LENDERS:
Ameriquest Mortgage
Patriot Mortgage
Park West Mortgage
Wells Fargo Mortgage
Skyline Mortgage
Integrity Mortgage Associates
(St. Petersburg, FL)
Credit
Unions
Credit unions specialize in automobile
and personal loans because they normally have the lowest interest
rates in town. You must be a member (savings or checking account
required) and
maintain a minimum balance of a few dollars in your account to
keep your membership active.
If you obtain an automobile loan with a credit union and
have no other loans with them, then financing automobile debt is usually
a good deal provided
the vehicle is worth what is owed and you can afford the payments.
BEWARE: Most credit union loan contracts contain anaconda clauses (also
known as cross-collateralization). Anaconda clauses link all of your
accounts together including checking, savings, and all loan accounts regardless
of what type of loan it is.
Most loans written by credit unions are secured loans
including personal or signature
loans due to cross-collaterization. If your payment is overdue it can be seized from
your checking or savings account without your knowledge. This often
results in overdrafts & fees. If you default on one loan, all loan
accounts may go into default because all accounts are linked (anaconda clauses).
Reference Materials
Frequently Asked Questions
Chapter 7 Bankruptcy
Got my Discharge of Debt
Copyright 2008 Florida Bankruptcy Services