Repairing Your Credit After Bankruptcy

Advice from a Connecticut Bankruptcy Lawyer

Would your life be less stressful if you were debt-free? A common misunderstanding about filing for bankruptcy in Connecticut is that those who file are unable to get credit for the following 10 years. Fortunately, this is a misconception. While bankruptcy does show up on your credit report for 10 years, your credit will improve during that time – you will not have to wait for the 10-year period to end for your score to go up.

At times like these, you need wisdom coupled with an understanding of bankruptcy laws and a caring perspective. As an experienced Connecticut bankruptcy attorney William E. Carter can provide you with all the bankruptcy information you need and help advise you about how to rebuild your credit and FICO scores.

Some ways to improve your credit after bankruptcy include:

• Get a copy of your bankruptcy discharge. After you receive a bankruptcy discharge, the Law Office of William E. Carter will ensure that you receive your bankruptcy discharge notice. Typically, you should receive it within three to four months after you file your case. Your discharge order will show that you are released from liability on certain debts, which will help you obtain new credit.
• Get a reasonable level of new credit. Part of improving your credit rating will involve obtaining new credit. However, it is very important not to go overboard with the amount of new credit. If you take on too much debt, your score will only plummet. Keep it as simple as possible – you should optimally get only one credit card with a low limit that you can use responsibly.
• Pay your bills on time, in full, every time. You will need to keep your balances under control, so avoid using your credit card if you would only pay the minimum payment. Furthermore, being on time with any car, apartment or mortgage payment is critical to raising your credit score.
• Ignore most of the new credit card offers you receive. Most people just out of a Chapter 7 or Chapter 13 bankruptcy case find themselves deluged with pre-approved credit card offers. Again, pick only one—preferably the one with the lowest annual interest rate and/or no annual fees—and discard the rest.
• Do not buy into any credit repair scams. If a private company tells you that they can remove your bankruptcy or other negative information from your credit report for an up-front fee, disregard it and any offer like it. No entity can legally do such a thing, and more importantly, you can repair your credit yourself simply by being responsible.
• Take advantage of your free credit report. You will need to ensure your credit report remains accurate, and the best way to do this is to take advantage of the free report you can get every year from each credit reporting agency (Equifax, Experian and TransUnion). Be sure that the payment amounts, account statuses and balances due are all accurate. You should report any mistakes to the reporting agency, and it will research and remedy the issue. 

If you have questions, we have answers. Bankruptcy is a complicated matter subject to too many changes, which is why you have absolutely nothing to lose by accepting our offer to contact us for a free, personal consultation with a Connecticut bankruptcy lawyer to review your financial situation.