Restore Your Credit Score After Bankruptcy
The typical Chapter 7 bankruptcy filing will reduce your credit score by 150 to 200 points. By following a few easy steps, you can usually get your score into the mid 600s within 18 months of filing bankruptcy. Within two years, you can be in the high 600s, which is a good credit rating.
If you file bankruptcy while your credit is still solid, your score will bounce back faster. If you instead accumulate delinquencies and collections before filing, your score will take longer to rebound.
The key to rebuilding your credit post-bankruptcy is demonstrating that you can borrow small sums and timely repay them. Obtain a gas card and pay its charges on time, every month.
Sign up for a secured credit card, which means you will only be able to charge what you have prepaid. Use the card a little every month, and pay the bill on time. To find issuers, Google “secured credit card.”
Every month that you record timely credit repayment, your score will improve. In 12 months your credit will be on solid ground, and in 24 months you should have a good score.
Our Memphis bankruptcy lawyer will assist you with filing bankruptcy and help you get a financial fresh start. Call our firm today (901) 523-2323