A probleme about Home Equity Loan After Bankruptcy?To bankrupt or not to bankrupt?

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Q. Feeling guilty about bankruptcy is foolish. Citibank, Providian, etc. don't feel bad at all about charging consumers 20%+ interest, so why should we care about screwing them. If you have excessive debt, you have two choices: 1. Continue to pay the bills and suffer for the rest of your life, or 2. Declare bankruptcy and start over. It is entirely possible to obtain a home loan at the most favorable rates only two years after a discharged bankruptcy. Most credit unions and some banks will also issue you a credit card two years after bankruptcy. The idea that you cannot get credit after bankruptcy is simply not true. Over a million people each year declare bankruptcy in this country. Most of them manage to rebuild credit only a few years after bankruptcy. Many, many Americans use bankruptcy as a financial tool. I don't necessarily condone it, but it's possible to make a lot of money doing so. Here's how: (assuming you have sound credit to begin with) 1. Apply for credit cards slowly over a 6 month period. When doing so, overstate your income ($100,000/year or so). You'll easily receive a credit limit from most cards for about $10,000+ each. Credit card companies almost never call your employer to verify income. Besides, just make up your own employer and put down a phone number that you control to call and verify the income. It helps if you make sure that your credit report shows the employer of your choice on your report. This can easily be done by getting your credit report, disputing the employer that's listed on your report and giving the bureau the name of your 'real' employer. The bureaus NEVER call to check this out. 2. At the same time, apply for all kinds of department store cards, and other revolving lines of credit. This must also be dome slowly over the six month period. 3. Buy yourself a used, reasonably priced car. 4. (Optional, assuming you own a home) Apply for a home-equity line of credit on your home (a 2nd mortgage). 5. After you're done accumulating all of the cards and credit limits (you can easily have $100,000 in credit if done properly), begin taking out cash advances on the cards until the limits are reached. Also begin to buy everything you want on the dept. store cards (new tv, clothing, etc). Also, use up the home line of credit by taking out cash. 6. Arrange to stash away all of the cash (not in a bank)- maybe with a relative. 7. Continue to pay the miniumum payments on all of your accounts. 8. Wait about two-three months and then file chapter 7 bankruptcy. 9. After the bankruptcy is discharged (if it's done properly), you will walk away with up to $100,000 in cash, all of those things you bought using the dept. store cards, you'll be able to keep your modest car, and you'll be able to keep your home (the 2nd mortgage will be wiped out by the bankruptcy, but the first mortgage will remain). 10. A few months after the bankruptcy, apply for a secured credit card. ALWAYS make the payment on time. After about two years, you'll start to receive credit card offers again, and you can sell your existing house (make a profit on it hopefully) and buy a new one at a great interest rate. 11. Take all of that cash and invest it. 12. Wait 8 more years and repeat 1-11. Sure, it's not the most noble (or even legal) thing in the world, but it sure beats working for a living. Besides, name an easier way to accumulate that kind of cash? Disclaimer: This should never be attempted by anyone!! It was just for fun!! It's much better to spend your life working very, very hard for low pay to make someone else rich, all the time making sure that you pay the banks on time....they really appreciate it, and it gives you a warm, fuzzy feeling inside knowing that you've made the banks and your boss happy. Remember, if you're really good to the banks, they might let you skip a payment once a year, but they'll still add interest to your account....they're so caring.

A. Yes, it is fraud, but I'm not proposing it. I was simply pointing out how it could be done. Believe me, it happens every day in this country. For many, bankruptcy is a financial tool, which they use to meet their goals. And yes, you're right, fraudlent debts cannot be discharged. Unfortunately, it's extremely difficult to detect such fraud. Anyone who's ever been through a bankruptcy knows that it's basically an assembly-line process, with few questions about how you managed to get to that point in the first place. Only for people who have no morals. I think bankrupcy, ESPECIALLY personal bankrupcy, should basically be gotten rid of. Actually If I wanted cable internet access I would have to have a credit card no choice. lot's of times you need it for ID for a check. Of course you have to want one. But when you are poor and you get these pre approved aps in the mail. the real ones not the ones you get now. you just signed your name and mailed it off. Sure we can pay it back. sure we can. hell the minimum payment does not even pay off a card.

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