Life After Bankruptcy
A bankruptcy can stay on your credit report for up to ten years; but, this doesn’t mean you have to wait ten years to buy a new home or to get a new credit card. You can start to quickly rebuild your credit and put the bankruptcy behind you with the help of a bankruptcy lawyer. A Tampa bankruptcy attorney will develop a modified credit restoration plan which will be based on your specific needs. They consider all of the circumstances of your case when developing a plan for you, including your long-term and short-term credit objectives in order to make a plan that is right for you.
Their credit restoration plan will include in some cases:
Consult a Bankruptcy Attorney in the Tampa
Bankruptcy attorneys know there will be many challenges in order to regain a high credit score. That is why they always provide their clients with reasonable expectations. Do not hesitate to contact Florida Law Advisers for help if you are considering filing for bankruptcy or need help restoring your credit because of bankruptcy. A bankruptcy lawyer will be glad to discuss all of the possible options with you, answer your questions and help you recover your financial strength. Their initial consultation is free, and they also offer low-cost, flexible payment options for all of their clients.
- Creating a Savings Account:
Most credit cards are unsecured loans, which means that there is no guarantee the lender can reclaim if you fail to pay. Typically, lenders charge higher interest rates for loans without collateral and have tougher qualifications. If you aren’t able to get an unsecured credit card, you should make regular deposits if you start a savings account at a credit union. Even depositing ten dollars a month will begin to build up your savings account. And after a few deposits, you may be able to get new credit by using the savings account as collateral.
- Obtaining New Credit:
Credit bureaus like to see that you are able to pay them back on time and that lenders are extending you credit. And in most cases, the higher your credit score will be as the more credit you have is being paid back on time.
Practically, you may not qualify for large amounts of credit right away after filing for bankruptcy. But, this should not stop you from looking for small amounts of credit. For example, new credit cards with a balance of only three hundred dollars can help improve your credit score. While many credit card companies will be doubtful about extending credit so soon after bankruptcy, some retailers will be more willing. Retailers (for example gas stations,) will frequently have fewer restrictions for new applicants if you compare them to the banks.
- Credit Monitoring:
They will get a copy from each of the credit bureaus (Johnbales checks Transunion, Experian and Equifax) to make sure that all of the debts you discharged in bankruptcy are properly reported. So, you can get a head start in rebuilding your credit by making sure that your credit report is correct and updated right away after declaring bankruptcy. Additionally, they can help you send written explanations to the credit bureaus explaining why you filed for bankruptcy together with informing them of the result of your case. Also, this strategy can help limit the instant effect that filing for bankruptcy could have on your credit.