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Posted in Bankruptcy
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Question By
Pecado

1 Contribution
2 People Helped
If I filed bankruptcy, why do I still show 1 account in collections and 2 late payments?

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Most Helpful Response

Negative accounts after bankruptcy

Helpful to 8 out of 11 people

This post is old but I wanted to respond.  I don't quite understand some of the responses stating "If it was on there before you filed it will stay".  I would think it was on your report along with other dept, otherwise you and many others wouldn't file in the first place.  If this collection was included in your bankruptcy then your credit report should show a 0 balance and "account included in bankruptcy".  If it stills hows a balance owed then contact your attorney and they will send a letter to your creditor requesting they fix it.

The bankruptcy will stay on your credit file for 10 years from the date it was filed.  Collection accounts will fall off your credit file 7 years and 1 month from the first collection date...not the date of bankruptcy.  For example:  if you have an account that went into collections on Jan 2010 that account will fall off your report on Feb 2017 (7 years and 1 month).  If you then file bankruptcy in Jan 2014 that same collection account will still fall off your credit file as of Feb 2017.  Collections and bad debt have a statue of limitations to be removed from your credit file and it's different depending on where you live.  Some states have a 4 year SOL and some have 7 years.  Your credit report will show a date the account went into collections but may not always be accurate.  The SOL starts 30 days after a payment is missed and then  reported for 7 years.....not 7 years from the date is shows up on your credit report.   

Hopefully that made sense:-))

Reply by
stacykirk

3 Contributions
4 People Helped
Helpful to 1 out of 3 people

My assumption was that all negatives would fall off after bankruptcy, my lawyer did not explain that it did not, so I was shocked to see everything still on my credit and effecting my score in a negative manner.

3 Contributions
62 People Helped

BANKRUPTCY CHANGED US FOR THE BETTER

Helpful to 16 out of 23 people

We had a good bankruptcy lawyer help us file.  All of our bills were paid but we were maxed out on 6 credit cards to the tune of $100,000 due to paying for 2 funerals (no insurance), helping kids, and losing a job.  We kept car out of bakruptcy.

During the 5 years we learned to live on cash...something everyone should learn..buy only what you have money to pay for.  We started telling our kids "NO".  When bankruptcy discharged, we waited 2 years then got secured loan from Capitol One for $200 at a cost of $49.  We charged 1 thing per month and paid immediately.  In 3 months our credit went from 620 to 760.  We have now gotten another small loan and paid it in 3 months.  Our credit score is now excellent.  

Bankruptcy is not the end...it is even referred to in the Bible when all debts were discharged after 7 years.

Reply by
RKJ1961

2 Contributions
3 People Helped
Helpful to 3 out of 4 people

Great advice; I so agree!

I've also lived in a cash world for the past 7 years, and although my credit score has taken quite some time to improve, I've been able to obtain car loans and have an excellent payment rating and insurance rating, so there has been good & bad.

A good attorney makes all the difference.  Mine was just horrible so my bankruptcy was painful, but in the long run it was a good lesson and - knock on wood- things are getting better.

1 Contribution
1 Person Helped

Creditors

Helpful to 1 out of 1 people

My banktupcy was discharged in Aug 2015. I have found that some of the accounts have fallen off my report before it was even dicharged.My car that I voluntarily relinquished was removed from credit report the second week after I filed. I see some accounts that state discharged in bankruptcy but have not been removed.How do I go about getting these removed.I was told to contact my attorney and honestly I believe I will. I even have open collections accounts with a $0 balance. I have no clue how that even works?

1 Contribution
21 People Helped

Second Chance with bankruptcy

Helpful to 21 out of 37 people

What bankruptcy does do is discharge your debts and gives you a clean slate. That does help you in the long run if you had a large amount of debt that you were unable to pay. It stays on your credit report for 10 years, but you are able to buy a car, buy a house, get a credit card, but you will have to manage the payments well and make them on time. The creditors know that you just filed and can't file again for another 10 years. Use this second chance wisely.

Reply by
Ocean823

4 Contributions
4 People Helped
Helpful to 3 out of 6 people

10 yeears if it's chapter 7, 7 if it's, I think, 11 or 13. 

1 Contribution
7 People Helped

Negative marks on your credit report

Helpful to 7 out of 10 people

You can call the creditors that have the negative marks on your credit report and request that they be removed. The 7 year law is to protect you. It states that a creditor cannot have a negative impact on your credit score for more than 7 years but you can call them and explain that you went bankrupt and are trying to make a fresh start and alot of them will remove the negative remark on your credit report. They know you cannot go bankrupt again for 10 years and if your credit is re-established they can make money off of you as well!

Reply by
stacykirk

3 Contributions
4 People Helped
Helpful to 3 out of 6 people

I have found that you can request it, spend hours gathering proof and writing letters, and they will even tell you they will fix it, but they never do.  They drop the ball and even though the law is supposed to protect us, it ultimately protects them.  The middle class gets screwed and no one gives a hoot.  Nevermind that we were making all our payments until both income earners got laid off in 2008 within a month of eachother.  It's just "shame on us" for not making payments.  Then Obama comes along and makes all the credit card companies stronger and reporting agencies less fair and more complicated.  I'm trying to follow advise from seasoned authors and my credit is tanking, I have no idea why. Pull my report and come to find all these *******s are still reporting on me AFTER MY BANKRUPTCY.  They revise reporting dates so it never reaches 7 years.  I've written Equifax and they rule in THEIR favor!!!!  It's a NO WIN situation for me, I can't catch a break, will never own a home and have no retirement due to the fact we had to use what we had to live on when laid off.  This entire system is a joke.

1 Contribution
1 Person Helped

Bankruptcy 2003 still showing on credit

Helpful to 1 out of 1 people

If you filed bankruptcy in 2003, why is it still showing up on Credit Karma's report? I thought it was 10 years.

Reply by
grannnani

3 Contributions
62 People Helped
Helpful to 2 out of 3 people

It is based on date of discharge, not date you filed.

1 Contribution
0 People Helped

Debt Consolidation

Is Debt Consolidation better than Filing Bankruptcy? 

Reply by
solexa423

1 Contribution
3 People Helped
Helpful to 3 out of 3 people

I know I'm replying rather late, but this caught my attention and thought I would add my experience. I'm single, rent an apartment, own my car and I was drowning in a sea of credit card debt accrued over 18 years from the time I got out of high school until the last year when several things happened that left me trying to get my head above water.  Even though over the years I had a fairly decent credit score, had paid my car off, and always paid my bills on time, I was never eligible for a secured persona loan because I had to much extended credit. I went through lending club and got a loan, but even then I wasn't approved for the amount I needed to consolidated, so the stress was only alleved minutely and over a year and a half later, barely being able to pay for groceries or gas to get to work, I threw in the towel and decided to file Chapter 7.  As someone who has always prided themselves on being responsible and made a point to keep my accounts going to collections, I finally realized it was simply a losing battle and I needed go take a long look at the way I spent my money. No more treating friends to dinner all the time and I've become quite the discount shopper. 

It's a personal decision, but I'll admit it was the best decision I made for my heath both mentally and physically. Being plagued by debt not only affects your pocketbook, if effects your sleep, your conscience, and your body.

2 Contributions
6 People Helped

Bankruptcy

Helpful to 4 out of 8 people

Bankruptcy will discharge the debts that are dischargeable under US Chapter Codes that you filed under. What happens is that the debts will be discharged (zero balance on any monies owed to the creditor), but the accounts will show on your credit report until 7 years from the date the account was reported to the credit reporting agency by collections/judgment/garnishment. Once the time has passed, the "history" will disappear. Bankruptcy clears the monies owed and therefore the liability. Be sure to pull your credit reports from all three bureaus and make sure that all accounts on your report show as "Bankruptcy Chapter XX - Discharged". If it doesn't show that, you are still liable for the debt(s).

If you have quite a few bad accounts, or large amounts owed to creditors, then bankruptcy gives you a fresh financial start. What you do after your bankruptcy will affect you for the next ten years (Chapter 7 is no longer visible after 10 years from date discharged). Save funds, rebuild your credit with a secured credit card and utilize a range of healthy debts (mortgage, student loans - NOT a car loan). 

Reply by
freshstart64

2 Contributions
19 People Helped
Helpful to 1 out of 2 people

You stated "NOT car loan", but what if there is a need for a car?

Regards,

2 Contributions
1 Person Helped

When filing a Chapter 7, can you include debts that are over 7 years?

2 Contributions
1 Person Helped

Negative remarks on credit report.....

I was reading what you said about contacting creditors and explaining to them that you filed bankruptcy and am trying to get a fresh start and ask them if they would remove the negative marks on your credit report. Have you  or anyone that you know ever been successful in having this done? And if so were the creditors called or was a letter sent to them? This is something that I would like to do if you know someone that has actually gotten it done in the past.

Reply by
stacykirk

3 Contributions
4 People Helped

I tried.  Received no response from anyone and found notes in my report from Experian that my request was denied.  My request was totally legitimate, and I am not uneducated or inexperienced.  Best of luck to you, if you have success share with the rest of us?

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