Brian Lehrer Show--Your Questions, 2/19

Hi everybody, thanks for listening!

[3] sophie from manhattan:
Chapter 11 bankruptcy is for businesses. Chapter 7 and 13 are for individuals. If you earn more than the median income in your state, it may be difficult to declare Chapter 7 and fully discharge debt. You may have to negotiate a payment plan instead under Chapter 13. You need to pay a fee, typically $300, and find a lawyer who will help you file, and appear in court. Also, bankruptcy typically stays on your credit report for 10 years--not 7.

[4] John Eiche from Queens: Yes, the mortgage plan is targeted to help people who are paying more than 43 percent of income on the mortgage.

[5] Tony from San Jose, CA: Yes, they could close it, more likely is that they would lower your credit limit or send you increasing solicitations to charge more (like a "cash advance" check). You might want to apply for another card if you are worried about it.

[6] Scott from Cambridge, MA: Yes, go to annualcreditreport.com to get an idea of your credit record before you take out loans.

[7] Mike from Long Island: That sounds screwy because 783 is a very high score. Maybe you should get your other 2 credit scores (Experian and Equifax) as well as your credit report and see if they agree. If not you may need to correct some errors on your report.

[8] FranciL from NYC: Yes, might as well keep it open. The amount of available credit is part of your credit score; so is the length of your credit history, which may be affected if this extra card was opened before your other cards.

[9] Edward from NJ: Frustrating! But I don't think this should affect your credit score. What could ding it was if you were shopping around for a home equity loan and made a lot of loan applications at the same time.

10] Suki from Williamsburg: It sounds like you have a healthy attitude towards credit, but I dont understand why you would have a bad credit score if you are paying off the card on time every month. It could be because you are maxing out the one card or you just don't have a long enough credit history. If the former is true, it may not be a bad idea to open another card. Or just stick to cash!

[11] C from Manhattan, NY: I am a fan and a member of Mint.com. They make money by referring customers to bank products (the Ways to Save section)--these offers are vetted to make sure they are really saving you money, but it is a paid product placement. The rest of their information is very reliable and they have been free of security concerns so far. I think it's a good tool.