Reestablishing Credit after Bankruptcy

Macon Georgia Bankruptcy Lawyer | Bankruptcy Attorney Macon GA

Bankruptcy is a difficult process and debtors are often left clueless as to where new beginnings should be made. They are apprehensive about their future and wonder when they will be able to get back to normal life. Despite the dull and dreary financial condition you are in, good planning and patience can make you financially secure once again. Filing of bankruptcy affects your credit score and hence reestablishing credit should be your first goal.

The Bankruptcy Code and Fair Credit Reporting Act are federal laws and therefore under their regulation, your bankruptcy would be a part of your credit report and it would stay constant for all states. Under normal conditions a bankruptcy is indicated on the credit report for a minimum period of ten years.

Good credit rating would require at least 18 months of paying bills in time. This would prove that you have learnt your lessons and are now financially stable. Reestablishing credit is not an easy task after a bankruptcy but nevertheless it is not impossible.

Steps to Reestablish Credit

Get a job since a regular income is vital for paying bills on time. Start with a part time job since it will help you in creating a steady work record that would increase your reliability. Obtain you credit records from all there credit bureaus. Ensure that they are accurate and inform the companies about your predicament and the reasons leading to it.

As soon as your credit card debts are discharged or paid, get rid of the excess credit cards. Keep only one or two very essential ones. This would allow you to use credit with caution. If you are planning to apply for credit card, restrict yourself to one and select it from a local store or bank. If you are denied regular credit card you can try for a secured one and also open a savings account, make regular deposits. Pay all your bills in time and do not ever build up debt. A checking account will ensure that none of your checks bounce and is proof of your newly acquired financial discipline.

Try to Get a Loan

Apply for a loan from you local bank or credit union. Make payments on time or even before if possible. Once these transactions are reported to credit bureau your credit score would improve. Set a track of payments on time, no debt and controlled spending for improvement in your credit score.

Prioritize your expenses, groceries, heat, rent are top priority followed by your loan repayments which can make a difference to your credit rating. Similarly pay off loans with high interest as soon as possible to limit debt. Strive to curb your spending as much as possible and concentrate it on necessities rather than luxuries.

Contact an experienced Macon GA bankruptcy attorney if you need debt relief assistance or want to file bankruptcy.