Credit Check Superthread- Merged Topics

[Cardiomegaly1]

I'm hoping someone can shed light onto my situation:

I'm a first year medical student (finishing first year in about 3 weeks) and am currently in the application process for the MOTP. I have my CFAT in about one and a half weeks where I have to fill out all the reliability check stuff.

As for my credit, however, I've been recently discharged from my bankruptcy, so I currently have no debt, but my credit report will show the bankruptcy for the next six years. I was thinking about attaching a letter to the reliability check forms (as well as my discharge letter) summarizing the following:

1. That I was sick with addictive disorder prior to two years ago
2. That I have been clean and in recovery for two years
3. That my bankruptcy was a result of my addiction, and that as can be seen, my payment history before addiction was immaculate and my compliance with the requirements of my bankruptcy to my trustee was also without fault
4. To implore them to judge my character and reliability on the man I am today in recovery, rather than judging me on my illness and the results thereof.

Does anyone have any thoughts or advice on this? I am really hoping that, since I am applying to a really skilled trade and that I can show that I've made every effort to straighten things out, that they won't simply look at the payment history and make a judgment.

Thanks in advance

 

[The_Falcon]

I'm hoping someone can shed light onto my situation:

I'm a first year medical student (finishing first year in about 3 weeks) and am currently in the application process for the MOTP. I have my CFAT in about one and a half weeks where I have to fill out all the reliability check stuff.

As for my credit, however, I've been recently discharged from my bankruptcy, so I currently have no debt, but my credit report will show the bankruptcy for the next six years. I was thinking about attaching a letter to the reliability check forms (as well as my discharge letter) summarizing the following:

1. That I was sick with addictive disorder prior to two years ago
2. That I have been clean and in recovery for two years
3. That my bankruptcy was a result of my addiction, and that as can be seen, my payment history before addiction was immaculate and my compliance with the requirements of my bankruptcy to my trustee was also without fault
4. To implore them to judge my character and reliability on the man I am today in recovery, rather than judging me on my illness and the results thereof.

Does anyone have any thoughts or advice on this? I am really hoping that, since I am applying to a really skilled trade and that I can show that I've made every effort to straighten things out, that they won't simply look at the payment history and make a judgment.

Thanks in advance

If you had taken the time to read this thread, you would see your question is already answered.

 

[Cardiomegaly1]

If you had taken the time to read this thread, you would see your question is already answered.

I actually have read the thread. And I have read of a lot of different situations, some more similar to mine than the next. I saw no harm in outlining my own personal situation and asking for advice. I thought that's what this forum was for.

 

[The_Falcon]

I actually have read the thread. And I have read of a lot of different situations, some more similar to mine than the next. I saw no harm in outlining my own personal situation and asking for advice. I thought that's what this forum was for.

Asking for advice or questions about things that are truly unique is fine, however 99.9% (including your post), it's not all that unique.  Read this, http://army.ca/forums/threads/109058.0  People have asked what happens if they apply with a bankruptcy on their file, and others have told them what to expect, you are no different.

 

[Treemoss]

Asking for advice or questions about things that are truly unique is fine, however 99.9% (including your post), it's not all that unique.  Read this, http://army.ca/forums/threads/109058.0  People have asked what happens if they apply with a bankruptcy on their file, and others have told them what to expect, you are no different.

What Hatchet Man said. But to give some insight, I talked to someone at my RC about what the financial check looks for. They look for if a collections agency had been on you before and if so, why and what have you done to improve that situation. If you've filed for bankruptcy they'll ask you why and the positive outcome of it. They don't care if you have student debts, they DO CARE if you aren't paying them.. that goes the same for all your debt. Basically, they want to see you paying stuff off, and if you havent, why not. The reason they do it is because it can be a potential security risk by being tempted to sell information or other stuff out...

 

[Cardiomegaly1]

What Hatchet Man said. But to give some insight, I talked to someone at my RC about what the financial check looks for. They look for if a collections agency had been on you before and if so, why and what have you done to improve that situation. If you've filed for bankruptcy they'll ask you why and the positive outcome of it. They don't care if you have student debts, they DO CARE if you aren't paying them.. that goes the same for all your debt. Basically, they want to see you paying stuff off, and if you havent, why not. The reason they do it is because it can be a potential security risk by being tempted to sell information or other stuff out...

Fair enough. Fortunately, my bankruptcy did have a positive outcome, in that I met all my requirements to my trustee and was subsequently discharged.

I have one final question about my situation. I was considering writing a letter, and attaching it to my reliability screening forms when I hand them in (along with my proof of discharge letter from my trustee). I want to be completely forthcoming from the very beginning, so I wanted to use this letter to outline exactly what course my life took to lead to this bankruptcy, the outcomes of it, my current life situation, and why I believe I should still get reliability clearance. I was hoping that someone could tell me whether this is a wise idea, or whether I should just wait for my interview to talk about it (since my recruiter told me that I would be given an interview regardless of anything adverse found on credit).

 

[DAA]

Fair enough. Fortunately, my bankruptcy did have a positive outcome, in that I met all my requirements to my trustee and was subsequently discharged.

I have one final question about my situation. I was considering writing a letter, and attaching it to my reliability screening forms when I hand them in (along with my proof of discharge letter from my trustee). I want to be completely forthcoming from the very beginning, so I wanted to use this letter to outline exactly what course my life took to lead to this bankruptcy, the outcomes of it, my current life situation, and why I believe I should still get reliability clearance. I was hoping that someone could tell me whether this is a wise idea, or whether I should just wait for my interview to talk about it (since my recruiter told me that I would be given an interview regardless of anything adverse found on credit).

Apply for your Credit Rating from BOTH Equifax and TransUnion Credit.  It's FREE and you can do it once a year.  So when it comes to the reliability screening process, they "might" be asking you questions based on what "they" received from both those credit reporting agencies.

You could very well be making something bigger than it is.  Fill out the forms, send them in.  Get your Credit Report and go from there.

 

[Cardiomegaly1]

Apply for your Credit Rating from BOTH Equifax and TransUnion Credit.  It's FREE and you can do it once a year.  So when it comes to the reliability screening process, they "might" be asking you questions based on what "they" received from both those credit reporting agencies.

You could very well be making something bigger than it is.  Fill out the forms, send them in.  Get your Credit Report and go from there.

Thanks for the advice. I actually have very recent credit reports that I ordered, to see how everything is shown following my discharge. My bankruptcy does appear, although my discharged status does not yet appear, which I am told is not unusual since it takes a few months to update records. This is why I'm including my proof of discharge from my trustee, because this could be a technicality.

 

[DAA]

Thanks for the advice. I actually have very recent credit reports that I ordered, to see how everything is shown following my discharge. My bankruptcy does appear, although my discharged status does not yet appear, which I am told is not unusual since it takes a few months to update records. This is why I'm including my proof of discharge from my trustee, because this could be a technicality.

So then, you now have, what they have or will have.  Let the process run it's course and go from there.

 

[guitargod1227]

Yes I know this has been covered but  I would like some other opinions. My credit is pretty bad , I owe on my student loan and it had been awhile since I have paid anything down, same with my credit card. Prob around 10,000. If I come up with a plan to re pay everything with my bank will that make my credit check go more smoothly?

 

[Occam]

I don't know how many more different ways there are to say it.

From an enrolment perspective, the CF doesn't care if you have bad credit. 

The CF cares if you have bad credit and haven't taken steps with your creditors to negotiate a repayment plan, or lived up to the obligations of that plan.

They want to see that you have your debt being managed.

 

[d_edwards]

Yes I know this has been covered but  I would like some other opinions. My credit is pretty bad , I owe on my student loan and it had been awhile since I have paid anything down, same with my credit card. Prob around 10,000. If I come up with a plan to re pay everything with my bank will that make my credit check go more smoothly?

The credit check as you should have read by now will expose your history of delinquent debts.  A plan will not change that outcome.
You should have had a plan in action and a history of following through already. 

So far this is what your debt management history looks like.
:trainwreck:

I would expect a result that mirrors that.  But only your file manager will be able tell you how much weight
they will give your "plans".

 

[guitargod1227]

Just finished my medical. I fully paid off 1 of my 3 debts in collections and plan to pay off the other 2 very soon. It was for $1500 and I paid it all off. Will this look good when they do my credit check? They are doing it now and I gave them copies of my 2 loans I paid off recently. Thanks

 

[Occam]

Just finished my medical. I fully paid off 1 of my 3 debts in collections and plan to pay off the other 2 very soon. It was for $1500 and I paid it all off. Will this look good when they do my credit check? They are doing it now and I gave them copies of my 2 loans I paid off recently. Thanks

Let's face it - if you had debt at collections, your credit is trashed for 6 years.  Depending on when your credit check is done, it may or may not reflect that you've paid off your creditors.  Be prepared to show documentation that you've dealt with it in the event that your credit check doesn't reflect the current state of your debt.  That said, your credit history may still impact your "attractiveness" as a candidate - you may have resolved your outstanding debt, but all other things being equal, someone with a good credit history will still get picked ahead of you.  If you've taken care of the debt, I don't know to what degree your history will affect your suitability for enrolment - only the recruiting people can tell you that - but you've at least taken all the steps that are within your control to minimize the consequences of a poor credit check.

 

[stealthylizard]

Get a letter from your creditors stating that it is paid/being paid off.  The biggest issue is that the CF doesn't want to be getting daily phone calls for Private Bloggins from XYZ Debt Collection Agency.  It takes time out of their day to get the message passed to you, and takes time out of your day to call them during training hours to deal with it.  They aren't supposed to call your employer, but they will, and often, since the only means of contact for you is through your employer (the CF).  Your chain of command will start hassling you about it because they are being hassled.

- Speaking from experience

 

[placebodm]

Hi, I'm wondering if my recruiting request could be rejected because my debts?  I have credit cards debts sended at a collection office.  Thanks.

 

[The_Falcon]

Hi, I'm wondering if my recruiting request could be rejected because my debts?  I have credit cards debts sended at a collection office.  Thanks.

Short answer. Yes your application may be rejected for a large amount of outstanding debt.
Longer answer....16 pages worth, start reading and researching prior to making another post about this subject.

 

[Jayson97]

I'm currently in grade 12 and work part time. I have no loans and have have always paid my credit card, which I got in January, on time and in full. However, my family is on welfare since my dad is sick and unable to work. I'm listed as one of the dependents. Will this look bad on me or cause any problems with my application? Thanks.

 

[legalrec]

Welfare does not equal bad credit.  Credit is something attached to a single person, not a family.  If you are unsure of what your credit looks like, get your reports from Equifax.  If your only credit is a single credit card that you pay regularly, it seems unlikely that credit is going to be an issue for you, unless there is something you're leaving out.

 

[Sempai Julia]

I was at recruiting today talking to a fantastic PO who answered, in great detail, my questions on debt and it's effects on my application.
There was a "red flag" on my application, but after discussing the situation with the PO the red flag was removed and my application is back in the running.
Long story short.....get off the computer and do some good old fashion pavement pounding. Go to your recruiting centre and get your specific questions answered in detail.