Just now got a call from Lester (not his real name) who filed Chapter 7 bankruptcy with me in July 2008. It was discharged in November 2008.
He was telling me this weekend, he got approved for a car loan at 7.0% (Around Christmas, he bought a big screen TV at HHGregg, with 12 months at no interest.) And the car salesman told him his credit score was 680. Can’t argue with that.
He had worked real hard getting some credit right after the bankruptcy and rebuilding very carefully. (He was also continuing to make his house payment on time, although, as I explain to people, it still shows bankruptcy for the house on his credit report.)
Thsi is pretty much what I tell everyone who asks. (Actually I tell people its usually three years after discharge before you can get a car at 7%. He did it in two years and three months.) But a lot of people still wonder.
As a Virginia bankruptcy lawyer, I talk to a lot of people who believe it will be seven years before they can get back to good credit. So I was glad when Lester gave me permission to post his experience, for you to read. And to show to people who say you will go seven years with bad credit.