Re: rebuild credit ch13

Posted by pam (12.153.61.190) on June 01, 2004 at 14:32:04:

In Reply to: rebuild credit ch13 posted by blkhwk on June 01, 2004 at 11:58:06:

I have a completed chapter 13 bk, discharged 2.5 years ago and I am just starting to clean up my report. If you go to Privacy Guard you can sign up for a 60 day trial membership for 1$ and you can pull the big 3 CRA once a day. The scores are FAKOS, which may or may not reflect your real FICO score, however you get to see what is on your report.

Here is the bad news about banks and BK, they gon't give a damn. They can not collect, but they can still trash your credit report. Two banks Cap One and Bank of America, are to this day charging fees and interest on discharged chapter 13 accounts. I just disputed this with the Big 3 and EQ zeroed out the accounts and included the notation "included in chapter 13 BK". EXP and TU have not responded to my letter, yet. Many people at other sites have written to the banks to correct the information and the response was "don't want to, don't have to". Federal BK laws do not include the specifics on HOW the account can be listed. The wording, however, indicates that the consumer should be free from the debt and reporting it every month with fees and interest does not support that idea.
You often have to threaten a law suite to get them to take you seriously, and that does require a little research. I had a debt of about $5800 with Cap one, and the current listing of the balance is 16,500. I have some more letters to write and then I will get a lawyer if I don't get the information corrected.

Cap One and Bank of America did not file against my BK, you should check and see if all your creditors have filed. If they have not, then they are outa luck. I did not know that two creditors did not file until my BK was discharged (2years early) and I received an accounting. My lawyer did not tell me who filed (maybe she did not know) and at one point I had to have my plan recalculated because I had fallen behind in payments. They judge added $2500 to my plan...and listed my payback with that amount on top of the original total, even though those two banks had not filed. You might have to check directly with the Trustee to see who filed. The creditors have to file within 60 days or so of the date set by the trustee.

Some banks will not do anything until the BK is discharged, because if the plan gets dismissed they can then collect on the debt if you don't convert the 13 to a 7.

Until you pay off the 13, you are pretty much in nowhere land. What you should do is start removing all you old addresses from the CRAs (dispute as never lived there) and several months after your Bk is paid off, change your address to a PO BOX or get a mail box through one of the chain stores. Then you can try disputing the BK as "Not mine", and the addresses of the Bk will not match your current address, and they might delete it.

I assume you did a chapter 13 to keep your house. The best thing you can do for your credit is keep you mortgage payments current, no lates, and don't get any collections.

Good luck, Chapter 13 was brutal for me. It was a struggle with no extra money in my budget.

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