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Is it better to file bankruptcy on credit card debt or get a home equity loan?
Wiki User
∙ 8y ago
This is a technical question that only a lawyer would be able to help you with. Anything, though, is better than bankruptcy, so if you think you have enough equity in your home, then it would probably be the wisest decision.
It depends on what your priorites are. If you believe that you are liable for all your past debts and want to pay them, then you should consider the home equity loan. Keep in mind that you will put all that debt load goes onto your home. If you feel that you are overwhelmed with debt and you are frustrated with your situation a BK is probably the way to go. If your planning on filing BK, I would recommmend Ch. 7 ,that way you get a clean slate and can start over fresh almost immediately. If your considering Ch. 13 Bk, you might as well go with the home equity loan and at least take advantage of the tax savings and credits, not to metion the fact that your payments on a loan would probably not be as high as with a BK.
Wiki User
∙ 8y ago
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If you file bankruptcy will that remove a charge off report from a credit card?
Filing bankruptcy does not remove a charge off report from a credit card on your credit report. It just adds bankruptcy to your credit report.
Will filing chapter 7 bankruptcy get rid of a credit card judgment?
Yes. It is the most common reason for filing for bankruptcy. If the judgment creditor had an execution issued and attached any equity in your home, you may have a problem.
What is the benefit of a home equity loan?
A home equity line of credit acts like a credit card: Homeowners get a certain amount of credit based on their home's equity and then use that to make purchases, much like they would with a credit card.
Why would someone need an equity line of credit?
Equity line of credit is typically used in reference to a home loan. The amount of money paid into your home is your equity. With a home equity line of credit, it acts like a credit card. One may need it if they can not qualify for a credit card, or a higher credit limit on their cards.
Can a person get a credit card for going through bankruptcy?
After bankruptcy one has to rebuild their credit rating. If or how fast one will get a new credit card depends on the issuing company. Alternatively one can apply for a pre-paid credit card.
If you are an additional card holder on a parent's credit card account and you file bankruptcy will the bankruptcy appear on their credit?
The bankruptcy will appear on their credit if you include this card in your bankruptcy. If you leave the card off the bankruptcy, it will not effect their credit.
Can you charge on a credit card that is in your bankruptcy AFTER actually filing bankruptcy?
"Whether a debtor keeps credit cards after filing bankruptcy is up to the credit card company. If you are discharging a credit card they will cancel the card unless you reaffirm the debt. Even if you have a zero balance the credit card company might cancel the card."
Are there any types of credit cards one can get if they have declared bankruptcy?
When in bankruptcy it is not possible to have a credit card. Once the terms of the bankruptcy have been met, some credit card companies will consider issuing a credit card to some people.
If you file bankruptcy will that remove a charge off report from a credit card?
Filing bankruptcy does not remove a charge off report from a credit card on your credit report. It just adds bankruptcy to your credit report.
Will filing chapter 7 bankruptcy get rid of a credit card judgment?
Yes. It is the most common reason for filing for bankruptcy. If the judgment creditor had an execution issued and attached any equity in your home, you may have a problem.
Can I get credit cards after bankruptcy?
It is possible to recover from a bankruptcy. You should start by getting a secured credit card to rebuild credit. After about seven years you should be able to find a standard credit card that will allow you to get a card.
What is the benefit of a home equity loan?
A home equity line of credit acts like a credit card: Homeowners get a certain amount of credit based on their home's equity and then use that to make purchases, much like they would with a credit card.
You have a zales credit card it is a jewelry credit card can you file bankruptcy on this card along with your other credit cards?
Yes
If an account is closed by a credit grantor why would the card holder continue to make payments after bankruptcy findings are closed?
The card holder is under no legal obligation for the card holder to continue making payments after filing for bankruptcy, unless the case is dismissed without a discharge. There are some who believe that they can improve their credit rating by pay off debts that were discharged in a bankruptcy, but I believe there are better methods to reestablish credit after bankruptcy.
Why would someone need an equity line of credit?
Equity line of credit is typically used in reference to a home loan. The amount of money paid into your home is your equity. With a home equity line of credit, it acts like a credit card. One may need it if they can not qualify for a credit card, or a higher credit limit on their cards.
Can a person get a credit card for going through bankruptcy?
After bankruptcy one has to rebuild their credit rating. If or how fast one will get a new credit card depends on the issuing company. Alternatively one can apply for a pre-paid credit card.
Is it possible to just declare bankruptcy on credit cards?
You can declare bankruptcy due to credit card debts, yes.
