Hi there, I am Aiden Muzzel. I am well versed in bankruptcy proceedings, so I would like to share my knowledge with you through my site. I started my adult years with minimal knowledge of money management. As a result, I ended up way over my head in debt. I was working two jobs and paying all of my income to the debt accounts without making a dent in the total. It turns out I was simply paying late fees and interest with my funds. I sought out legal representation to learn more about how bankruptcy could help me end the cycle and start over. My bankruptcy attorney helped me fill out paperwork, file documents and attend court proceedings. Within a year, the judge discharged the eligible debt accounts. I hope to explore bankruptcy in more detail on my website. I hope you come back soon to learn more.
You have been trying your best to manage a tremendous load of debt that you have managed to accumulate, but it seems no matter how hard you work and how much you pay, it is never enough. Unfortunately, American consumers find themselves in this situation quite a bit, and when they do, bankruptcy often seems to be the most logical option. If you know all too well what it feels like to be facing the possibility of filing bankruptcy, you may find yourself with questions about rebuilding your credit after everything's said and done. Take a look at these common questions prospective bankruptcy filers have about their credit after filing for bankruptcy.
Is it true that your credit will never recover from a bankruptcy?
Even though a lot of people who have to file bankruptcy fear this initially, they soon see that this is just not the case. In fact, if your credit history was previously riddled with unpaid debts, charge offs, and late payments because you were struggling with all the debt you had, a bankruptcy can actually make your credit look better in the eyes of a lender. With a little patience and a few smart moves with your credit, you can see your score go back up in spite of the fact you have filed bankruptcy in the past.
What should your first steps be to rebuild your credit once the filing is complete?
There are a few steps you can take once the bankruptcy is finalized by the court to ensure your credit recovers in a healthy way. Remember, you should get started on rebuilding your credit right away because this will only help you if you have to apply for a loan later on. You will want to establish new payment history and positive changes, so it is a good idea to find a secured loan, such as a secured credit card.
Can you get a home loan after you file for bankruptcy?
If you are expecting to eventually buy a home, it will be highly important to keep your new credit report with the bankruptcy on it as clean as possible. You will want to establish a good record of payment history and opened and closed accounts that did not have any negative notations with the loan. Some mortgage lenders do like to wait several years after bankruptcy before they will consider you a candidate. However, this also depends on what you have done to boost your credit since you filed.
For more tips, talk with a bankruptcy attorney like Hamby & Hamby, P.A. today.
Share7 June 2017
