After a bankruptcy, many people fear that their credit will never recover.
While it is true that bankruptcies do deal a harsh blow to your credit
score, this harm does not last forever, and you can begin rebuilding your
credit immediately.
If you are considering a bankruptcy and have put it off because of the
potential damage to your credit score, you should seek quality legal counsel
by an attorney who understands the nuances of bankruptcy. If the potential
benefits of a bankruptcy are significant enough, an experienced attorney
can help you understand the advantages and guide your through the process.
Once you complete your bankruptcy, the damage to your credit will remain
on your record for up to 10 years. However, you can begin rebuilding right
away, and should. One of the first things you can do is create a budget
and get used to making a budget work from month to month. The more consistency
you can demonstrate and the longer you pay your bills and any new debts
on time, the more attractive your become to lenders.
You can also consult your credit reports and attempt to weed out any false
information that may be damaging your report. While there may be plenty
of information that belongs on your report and doesn’t look good for
you, not all of it may be accurate. You can use this time to make sure
that your credit report is as accurate as possible.
Do not wait to consult with proper help at any stage in the bankruptcy
process. The good news is that a bankruptcy can truly give you a fresh
start. With proper planning and slow, steady progress, you can
rebuild your credit and rebuild your life, keeping your rights secure along the way.