Topic: credit with bankruptcy

[hesseleitt]

 
Credit with bankruptcy.
   hi, new boy here.  Has anyone else been able to use a c/card connected with b/ruptcy?  I was made b/rupt in may 2007, discharged Feb 2008 and able to use a lloyds c/card in may 2008.   It was included in above, but with no debt on it. It has a limit of £2000.  I use the card with no problems whatsoever.   I even have a good credit score, but are still weary of any repocussions.
    There is hope for everyone out there with bad credit,keep trying!!!!!     I would welcome any response from persons with similar circumstances.
 
                                     Regards, Hesseleitt

[Steven Jackson]

Hi there Hesseleitt
 
This is a very unusual situation. Are you sure the card was included in the bankruptcy? If for some reason you forgot to include it on your bankruptcy statement of affairs document, it may have been missed and remained active throughout your bankrupty.
 
If you have now been discharged and the card is still active and you are using it, you are actually not doing anything wrong. Now you are discharged, you are allowed to take credt again if anyone is prepared to give it to you. As such you can use the card as long as you are making the minimum payments required. However, I would recomend that you dso not use it unless you pay the full balance off each month.
 
You mention that you believe that you now have a good credt score. I am surprised that you think this as the record of you having been bankrupt will remain on your credit file for six years from the date of your bankrutpcy. This will generally mean your credit score remains bad for at least 2-3 years.
 
Have you applied for a copy of your credit file to check?

[hesseleitt]

hi hero.
           Thanks for response. Yes i have checked my credit report which still states the average rating is 70+ on my a/c.  I am well aware B/rupcy lasts 6yrs on your file.  I am not tempted to request any credit though.  Am i really an unusual case? even my bank a/c was not affected, although the o/r informed them or so they say.              I opened an a/c with N/wide before my B/rupcy which gave me full status as i had not defaulted on any payments before B/rupcy.
Perhaps you would like to know i am at present living on benefits, as the financial mess left me depressed and suicidal.   I am now back on track.
 
                         Regards, hesseleitt

[Steven Jackson]

Hi again Hesseleitt
 
I am very pleased to hear that you have been able to get back in control. This just proves that the Bankruptcy route is absolutely the right thing for many people.
 
I have to say that I have not heard of anyone who has declared themselves bankrupt and still kept one of their credit cards active. However, that does not mean to say that these things don't happen. In regard to your bank account, again I am surprised that Nationwide allowed you to continue with a full current account after you had declared bankrutpcy. This just shows you that the banks can sometimes take a sensible view of things.

[ajgraves]

What a strange situation.

I have never heard of being given credit for going bankrupt? How would someone go about that?

[Steven Jackson]

You are right ajgroves, this is a very unusual situation. Normally if someone declares bankruptcy, any credit card accounts they have (balance or no balance) would be cancelled by the provider. I do not think this should be taken as a standard situation at all.
 
Generally speaking, if you want a credit card once discharged from bankrutpcy, you will need to work with the bank where you have your current account. Given time they should start you off with a card with a minimal limit (say £250) and you can build things from there.

[esterdsl]

You have put me in a tough situation, I have not heard anyone using credit card during bankruptcy.It is however nice to hear that you have started afresh, and have overcome the situation of financial crisis. Wishing all the best for future.