Too low of credit limit after bankruptcy discharge. Advice?

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beaks
 
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Too low of credit limit after bankruptcy discharge. Advice?

Postby beaks » Wed Nov 23, 2011 11:52 am

I filed Chapter 7 bankruptcy about 18 months ago and since then I have established a Capitol One card ($500), and a First Premier card ($300).

I got a job a while back that requires a decent amount of travel and I am responsible to pay for the travel up front, and I get reimbursed for all expenses every week. My problem is that my credit card's current credit limits are far to low to be able to sustain this regimen. Sometimes my travel expenses are 2K for the week and I am paying cash for the most part which is very difficult at times. I need a card with at least a 3K limit. My income is around 140k. What are my best options? I applied for an AMEX Charge card and got denied...


Money card
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Postby Money card » Fri Nov 25, 2011 1:45 am

in this situation what you need to do is tell your supervisor the one who is in charge of all your travel expenses, the person who reimburses you, the person who tells you where to stay. this person needs to know about this situation and ask them if they can sign for an American Express small business or corporate card, a Chase Ink a Citibank small business credit card.

Because it's ludicrous to be paying cash for everything. I can understand if you are by yourself and you want to go to Burger King, McDonald's or Kentucky Fried Chicken. Or if you need to taxi rides around the area your doing business. But you can't be checking into a hotel eating out at fine steak or Italian restaurants paying cash. not acceptable. you need a company card.

DoingHomework
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Postby DoingHomework » Fri Nov 25, 2011 11:47 am

No, you need to find a way to pay. Why not just use a debit card and keep adequate money in a checking account until you establish credit again? You can use a debit card just like a credit card for most places. Don't get your company involved. You could lose yor job if you have bad credit.

ooxs
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Postby ooxs » Fri Nov 25, 2011 3:40 pm

While i understand the situation you are in, a low credit limit is small price that comes with BK. The good news is you have a couple of cards to reestablish credit and with 140K cash is going to be your best friend.

JNK
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Postby JNK » Fri Nov 25, 2011 9:47 pm

I agree with both Doing Homework and ooxs.

Be happy that you ARE on the right track to repairing your credit and whatever you do, DON'T involve your company by asking for a business expense-related credit card because that could end up running you an inquiry in regards to your credit history which is - in my honest opinion - the last thing you need done.

Regardless of the fact that many Americans have faced bankruptcy for completely and unhappily legitimate reasons (and I'm sorry to hear you've had to go that route), it still isn't a pretty picture to see and be presented with in terms of someone (the company in this case) looking at your credit. The last thing you need is for the company to go, "I wonder how my employee got into bankruptcy with his/her previous employment record and salary... Does this mean my employee is going to go the route of bankruptcy again?"

It's not their business, in my opinion, to look into credit as a form of determining employment qualifications, but some companies DO do that anyways as they equate creditworthiness to dependability and responsibility.

Pay using debit and work on improving your credit. With the income level you have, I would think you would be able to keep a good chunk of that money untouched in your checking account to use like cash for your purchases. You might try inquiring at the bank that you do your banking with to see if maybe they would be willing to offer you a better credit option. As they're the ones who get to see what money goes in and what money goes out of your checking account, they might be more willing to give you a chance.

But otherwise, with the bankruptcy still on the not-so-far horizon at 18 months, you would be better off credit-health wise to stick to paying using debit or cash while working on your rebuilding your credit.
Personal Collection:

AMEX: Everyday (MR), Macy's (cobranded)
MASTER: Citibank Dividend Platinum Select (non-World version)
VISA: Chase Amazon Signature, Chase (bank issued)
GE: Care Credit (medical expenses), Macy's (store), JCP (store)


Business Collection:

AMEX: Costco True Earnings
MASTER: None
VISA: Chase Ink Cash

ooxs
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Postby ooxs » Fri Nov 25, 2011 9:54 pm

JNK i am glad you pointed that out. In this economy depending on the type of business or employment, bringing up hardship obtaining credit can go both ways and if you ask me, I am not willing to take that chance when I can pay cash and work on my credit. Household bank will gradually increase your credit but just like Rome, it cannot be built in a day.

It is going to take time and time is going to be your new best friend.

beaks
 
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Postby beaks » Mon Nov 28, 2011 4:31 pm

Thanks for all the replies everybody. I agree that I do not want to let my company know of previous hardships. I will have to bite the bullet and pay cash much of the time until I can rebuild and have my limits increased.



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