Rebuilding Credit After Bankruptcy
Rebuilding your credit doesn't happen overnight. It takes time. It takes patience. It takes commitment. Our attorneys can show you how.
At THE THOMAS LAW FIRM, in Falls Church, Virginia, we help people take full advantage of bankruptcy's opportunity for a fresh financial start but our commitment to helping our clients doesn't stop there. We also help people understand the process of rebuilding credit after completing their bankruptcy and walk them through the steps needed to accomplish that goal.
Stop struggling with too much debt. Learn more about your options and how we can help you obtain relief. Call or contact THE THOMAS LAW FIRM for a free consultation today.
The Timeline for Rebuilding Your Credit
Filing for bankruptcy doesn't ruin your credit. For most people, in fact, it provides a place to start improving it. What we mean by that is that before filing for bankruptcy, many people are doing nothing but hurting their credit score. Not making payments. Making late or only partial payments. Making matters worse by constantly accruing late fees, interest hikes and other penalties.
Bankruptcy sets the ground floor and from there you can only go up.
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0 to three months after a
Chapter 7 discharge or a
Chapter 13 repayment plan is approved by the bankruptcy court, you will start receiving credit card offers in the mail (believe it or not, it will happen). The credit limits on these offers will be low, the fees and interest rates high. A better option is to take an amount of money you can afford and obtain a secured credit card from your bank.
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From three to 24 months (possibly a bit longer in some cases) after your bankruptcy, continue to pay all of your debt obligations on time and in full. This is an absolute must. After a while, you'll start seeing credit offers on better (but still not great) terms. Take advantage of these only to the extent you can afford them. If there is any doubt in your mind, stick to what's been working.
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After 24 to 36 months, the credit offers you receive will be much better. During this time, many debtors are able to get car loans or even a mortgage on decent terms.
Free Consultations — Se Habla Español
Falls Church Area: 703-639-4585 / Toll Free: 888-589-8716
Our lawyers help people and families in northern Virginia, Maryland and the District of Columbia. Call or contact us today for a no-cost consultation, no strings attached.
