The best way to use credit after a bankruptcy is responsibly – do not take out loans on things you do not need. However, you could benefit by taking out a couple credit cards, even if the terms are a little higher and secured with a cash deposit. Within the first year after clearing a bankruptcy you could qualify for a car loan and after 12-24 months you could qualify for a home mortgage. If you need one or both, after a bankruptcy is a great time to get them, if you can, since you will have no debt on your record and will therefore be looked upon as creditworthy.
Will My Filing Bankruptcy Separate From My Spouse Show Up on His or Her Report?
No, the bankruptcy should not show up on your spouse's individual credit file.
What Are Some Credit Repair Scams I Should Avoid?
If you contract with a credit repair agency you are advised to carefully review the company and the contract prior to signing or agreeing anything. Some credit repair agencies charge exorbitant fees when they cannot do anything to improve our score. Moreover, it is possible for a credit repair agency to make matters worse for the debtor if laws are violated in an attempt to repair one's credit. Remember you must be told that you have a right to dispute any item on your credit rating that adversely affects it which you believe should not be there.
How Can Filing Bankruptcy Actually Help My Credit?
Filing for bankruptcy can definitely be of a benefit to a person's credit since it effectively wipes all debt away and creates a clean slate for a person. The person can then build up their credit again where they most likely would not have had that option previously.
What Are Some Other Basic Tips I Can Use that Will Help Me Repair My Credit After A Bankruptcy?
The best tips to remember to rebuild your credit score after a bankruptcy is to make consistent and on time payments on any debt you have, including rent payments. Taking out a few secured lines of credit through credit card companies can also help to rebuild your credit score. Taking out a car loan shortly thereafter and successfully making all payments on time will create the ability to take out a larger loan in the future.
For more information on Using Credit After Bankruptcy, an initial consultation is your next best step. Get the information and legal answers you are seeking by calling (515) 451-1260 today.