Is a non-discharged CH13 an automatic "no" to potential creditors if your FICO score is 695? I want to apply for the Target Guest Card, but I want to have a pretty good idea that it would be approved before wasting the inquiry. This would be my first application for credit in 2+ years. Lisa
Lisa, I cannot give you any info regarding the Target Guest card but I can tell you why a creditor might balk at a 13 filer as a high credit risk. One is that you haven't finished your plan yet so there still is a possibility of a dismissal...and two (this is the biggie!) a 13 can be converted to a 7 which means you could then throw in any new credit you obtained while in a 13...that is why most bk courts restrict 13 filers to no more than $250 of new credit without the permission of the trustee. If I were you I would just apply and see...I mean what's the big deal if you get a inq ding...you probably won't be viable for any cards while this 13 is hanging over your head anyway. Of course, I have never understood why 13s get penalized like this and 7s can get credit right after their discharge which usually only takes about 4 months from time of filing...oh well the new bk reform will screw us all so soon it will all be a moot point! Hope this helps....and congrats on your battle with the experian folks...well fought and deservedly won! clc
Thanks, CLC. That was a tough battle! One of the toughest to date ( if you don't count Chase and the mortgage battle!) I think I will apply. Like you said, what is the worst that can happen? Thanks for your input. As always, it makes the issue more clear for us all! Lisa
your welcome, Lisa....in fact as I was thinking this through if I were you I'd just apply and if denied call them and ask them about their bk policy. Find out how long after a 13 discharge will they consider extending credit to you. You still have plenty of time b4 discharge so I would just say the hell with the inqs for now and use them to obtain future knowledge...so as soon as your 13 is discharged you will know who/what cards to apply for. JMO, clc PS plus it would be great info for the board!
