Can You Get a Chase Credit Card After Bankruptcy?
Short answer: It’s unlikely, but not impossible.
Bankruptcy can be a significant financial setback, and rebuilding your credit afterwards can be a long and challenging process. Credit card companies, including Chase, carefully evaluate applicants’ creditworthiness before approving applications.
Chase’s Stance on Bankruptcy
Chase, like most major credit card issuers, has strict guidelines for applicants with bankruptcy on their credit report. Generally, you’ll need to wait at least seven years after a Chapter 13 bankruptcy and ten years after a Chapter 7 bankruptcy before being considered for a Chase credit card.
However, there are exceptions to every rule. Some factors that might influence Chase’s decision include:
- Time elapsed since bankruptcy: The longer you’ve been bankruptcy-free, the better your chances.
- Credit score improvement: Building positive credit history after bankruptcy can help.
- Income and employment stability: Demonstrating financial responsibility can be beneficial.
Building Credit After Bankruptcy
While waiting for the bankruptcy to fall off your credit report, you can take steps to rebuild your credit:
- Secured credit cards: These require a security deposit and can help establish a positive credit history.
- Retail credit cards: Some retailers offer store credit cards with lower credit requirements.
- Consistent payments: Make all payments on time to improve your credit score.
- Monitor your credit report: Check for errors and dispute any inaccuracies.
Applying for a Chase Credit Card
Chase is known for its stringent approval criteria, especially for applicants with a bankruptcy on their credit report. However, here are a few options to consider if you’re looking to apply for a Chase credit card after bankruptcy:
- Wait for a Period: It’s often recommended to wait at least one to two years after your bankruptcy discharge before applying for new credit with Chase. During this time, focus on rebuilding your credit score.
- Check Pre-Approval Offers: Chase occasionally provides pre-approval offers that allow you to check your chances of approval without affecting your credit score. This can be a good way to gauge your likelihood of being accepted.
- Consider a Co-Signer: If you have someone willing to co-sign your application, it might increase your chances of approval. However, this option comes with risks, as the co-signer is equally responsible for the debt.
- Choose Cards for Rebuilding Credit: Chase offers cards aimed at those looking to rebuild their credit, such as the Chase Freedom or Chase Slate. These cards can be easier to qualify for compared to premium cards.
Tips after you’ve filed bankruptcy:
- Patience Pays Off:
- After bankruptcy, focus on rebuilding your credit. It takes time, but it’s possible.
- Chase typically looks at your credit score, payment history, and overall financial stability.
- Chase’s Reconsideration Line:
- If you’re denied, consider calling Chase’s reconsideration line.
- Explain your situation, emphasizing your improved financial standing since the bankruptcy.
- Some users have successfully obtained Chase cards even with a bankruptcy on their record.
- Establish a Relationship:
- Having a Chase mortgage and accounts with them (like checking and savings) can help establish a positive relationship.
- While your original mortgage wasn’t through Chase, the fact that they bought it might work in your favor.
While obtaining a Chase credit card immediately after filing for bankruptcy is unlikely, it is possible to get other types of credit cards that can help you rebuild your credit. Secured credit cards and cards designed for those with poor credit are viable options. Over time, with responsible credit management, you can improve your credit score and potentially qualify for more favorable credit offers in the future.
By understanding the impact of bankruptcy on your credit and taking proactive steps to rebuild your credit profile, you can work towards financial recovery and eventually regain access to a broader range of credit products.