So many people think that after Bankruptcy, their credit is forever ruined and they will never get a credit card again. Nothing could be further form the truth. In fact, many creditors actively solicit discharged debtors for credit cards again. For example, each day the Carlsbad office receives numerous letters from Capitol One on recent discharges. The typical offer states,
“You’re working to get back on track–trying to stay on top of your bills and monitoring your finances. Apply today to enjoy the advantages of this Capitol One Platinum MasterCard offer:
* No Annual Fee
* 0% Intro APR until 6/2013
* Access to Higher Credit Line after 5 Payments
* $0 Fraud Liability if your Card is ever Lost or Stolen
Capitol One actively solicits recently discharged debtors since it knows those debtors have no more debt to service each month, and they can not file for chapter 7 protection again for 8 years. The solicitations are a direct result of the great new credit risk arising from the Bankruptcy Discharge.
Yes, Bankruptcy is a credit repair and rebuilding tool. While one should not immediatley seek credit cards after Bankruptcy to incurr debt, one should seek credit cards to rebuild credit. Just remember to pay the cards off each month!
For more information on which creditors offer credit cards right after Bankruptcy, please contact us.