Bankrupt (just discharged) and on benefits

RebTech

I was discharged from bankruptcy a couple of months ago and was thinking about applying for a credit card to help rebuild my credit rating, then I thought, I'm not working, on incapacity benefit, is there any point in applying??

I'm (normally) self-employed but I've been on IB over six months now due to what's currently thought to be chronic pain syndrome in one knee, and there's no indication that I'm likely to be able to work in the near future.

tom188

Im afraid as a discharged bankrupt you will find that probably no lender is going to touch you for the moment, even if you were employed. You could consider a vanquis card but i think really even that you would not be considered for in your current position.

ravenk

RebTech wrote: »

I was discharged from bankruptcy a couple of months ago and was thinking about applying for a credit card to help rebuild my credit rating, then I thought, I'm not working, on incapacity benefit, is there any point in applying??

I'm (normally) self-employed but I've been on IB over six months now due to what's currently thought to be chronic pain syndrome in one knee, and there's no indication that I'm likely to be able to work in the near future.

Sorry to read about your situation. It's everyones worse fear ...being to sick to be able to work. Wish you better health for the future.
I would not bother even applying. Being refused will make your credit score even worse.



Cheer me up and tell me how much the Credit card companies were stuffed for when you declared bankruptcy ?

omg_3

Why would you want to build up your credit rating?

MABLE

RebTech wrote: »

I was discharged from bankruptcy a couple of months ago and was thinking about applying for a credit card to help rebuild my credit rating, then I thought, I'm not working, on incapacity benefit, is there any point in applying??

I'm (normally) self-employed but I've been on IB over six months now due to what's currently thought to be chronic pain syndrome in one knee, and there's no indication that I'm likely to be able to work in the near future.

Because your debts were too much to bear you went bankrupt. Now you are discharged (great news!) you now want to start borrowing again. My advice is stay clear of all credit and just get used to dealing in cash again. After all based on the information supplied you appear to be very vunerable financially at this moment in time.

RebTech

ravenk wrote: »

Sorry to read about your situation. It's everyones worse fear ...being to sick to be able to work. Wish you better health for the future.
I would not bother even applying. Being refused will make your credit score even worse.

Cheer me up and tell me how much the Credit card companies were stuffed for when you declared bankruptcy ?

£20k approx. Or that was the total, of which around £1500 was between an overdraft and a personal loan from a bank which has since declared record profits for any UK bank, and the rest was on credit cards.

Thanks for your good wishes. That's a good point re making my score even worse, hadn't thought of that.

RebTech

MABLE wrote: »

Because your debts were too much to bear you went bankrupt. Now you are discharged (great news!) you now want to start borrowing again. My advice is stay clear of all credit and just get used to dealing in cash again. After all based on the information supplied you appear to be very vunerable financially at this moment in time.

I do NOT want to start borrowing again! But some transactions, particularly with overseas companies, can only be conveniently done using credit cards. I'm now thinking about getting a pre-payment one.

RebTech

omg wrote: »

Why would you want to build up your credit rating?

Very interesting question! I have given some thought to the fact that, if you live in credit, as opposed to "on credit", then the banks pay you, as opp. vice versa, but I was operating on the assumption that it would be good to have the option of credit, just in case I might someday find a good use for it. A mortgage is perhaps the most obvious example, but I'm probably too old for that now (54) even if I was earning a decent wage. So maybe I'll never need credit again!

omg_3

RebTech wrote: »

I do NOT want to start borrowing again! But some transactions, particularly with overseas companies, can only be conveniently done using credit cards. I'm now thinking about getting a pre-payment one.

You could use pay-pal for overseas payments

RebTech

omg wrote: »

You could use pay-pal for overseas payments

The companies that take paypal seem to me to be quite a small minority.