Probably the biggest threat to America’s financial security is the massive amount of credit card debt that has been accumulated by its citizens. Soon this debt is will exceed one trillion dollars. Credit card debt may be the number one cause of bankruptcy.
If you have recently received a bankruptcy discharge and are looking for bankruptcy credit card info you may be surprised by how easy it is to obtain a credit card. However unless you want to end up in chapter 7 or 13 again it would be very wise to consider your option carefully.
Credit cards come in two forms “secured” and “unsecured”. The vast majority of credit cards are unsecured meaning that there is no specific collateral assigned to back up the money you borrow on your credit card.
On the other hand “secured ” credit cards are backed up by collateral specifically designated to pay off the credit card debt in case of default. Usually this means having a set amount of money in a collateral account that matches the credit limit on the “secured” card.
As an example you would deposit $500 in a secured credit card account and your credit card would have a credit limit of $500. If some reason you would default on your credit card the money in the account would be used to pay off the debt.
In most cases shortly after bankruptcy discharge you will start receiving credit card applications in the mail. Many credit card companies specialize in providing bankruptcy credit card info to people who have just received a discharge of debt. In most cases these card offers have very high interest rates and or fees associated with them. These cards are traps for the unsuspecting individual.
You must carefully consider what your goals are in getting a credit card. If your previous debt problems were linked to the use or misuse of credit cards then it might be a good idea not to obtain one. If however you are relatively disciplined and you need a card to reestablish your credit rating then acquiring a credit card has merit.
Regaining your credit rating begins by establishing a record of payments on your mortgage and bills. Obtaining a “secured” credit card and making payments each month on time will also assist you in building your credit score. In fact this method will build you credit score faster than not having any credit cards or consumer loans at all.
If you choose this route to regaining your credit rating you must be sure that the credit card company routinely and correctly reports you credit activities to all three credit reporting bureaus. You will need to take it upon yourself to check your credit reports at least once every three months. Granted you credit report will show your bankruptcy on your credit report for 10 years but if you use your credit cards wisely you will be able to establish a good credit score within a couple of years.
Again take your time to carefully read and study all the bankruptcy credit card info you receive. Doing a good of research will help you to save you a lot of money and rebuild your credit score.
