bankruptcy, how to get back on track

[cravenab00]

its a very long story, so I will give you the shortened version.
2001- DH in car accident, injury, missed lots of work, permanent back impairment
2001-2006-doctors treatments, lawyers, fighting, etc.... guy who hit him insurance will not pay, despte lawyers, doctors testifying to his condiditon.
during this time period we used CCs to pay medical bills to keep them from going to collections, garnishing wages etc...
Debt got high, to high to manage. Tried CCCS, tried consolidation, nothing worked. DH was laid off twice, due to missing work due to back injury. Had no savings, more debt due to lay-offs.
All in total we had over $125,000 in medical bills, we got the settlement last fall, it was $15,000. We settled with a couple of the medical bills, paid a lot less than what we owed, but were still left a mountain of debt, and comapnies refusing to work with us because it had been so long. Ended in Bankruptcy, late this spring.
NOW-----
How do we attempt to get back on track? I've been reading Dave Ramsey, and while I am not christian, i like the majority of what he has to say, its simple direct and makes sense. But, so many other things that I read, say that not having a major credit card, is the biggest credit mistake people can make.
So, what can we do? where do we go from here?

[Sheal]

Have you considered pre paid cc? If you can save money to buy a major ticket purchase, you may be able to save money to put on a pre paid CC too. I am a bankrupt and have a pre paid CC. Almost everything takes CC now a days from car rentals to video store accounts and online shopping, set up of certain non-essential utilities (ie: satalite, phone, internet). It's mind boggling that most companies now a days just don't want to deal with people without CC (is that discrimination in some way?).

Other than that, I don't know what else to suggest than being on time with your bills and up to date to restore your credit rating.

[jlutgendorf]

I'd love to hear some responses. I'm currently trying to get my husband to cancel our CC's as we pay them off, but he insists we keep them to keep our credit record and repair his cc.

Problem is, we're not good with CC! I think if I could convince him that we don't need CC to repair his credit (he has student loans and several bills in his name, I have our mortgage and car payment). Then maybe he would be ok with canceling at least most of them (5 total! .

But who knows, maybe he's right and I'm wrong?

OP, I hope your husband is feeling a little better now. I don't have advice but wanted to offer hugs. I have several friends that have had similar things happen, but with slightly less severe injuries but the same outcome, insurance won't pay out like it's supposed to.

~Julia

[kijip]

We are credit card less for all practical intents and purposes around here for the last 4-5 years. We still had no issue getting a conventional, fixed rate mortgage. I use a debit card for the video store, car rentals, online shopping etc.

I would get back on track by focusing on saving an emergency fund and budgeting carefully. You did the right thing by filing for bankruptcy.

You can worry about if you feel you want/need a credit card in a couple of years.