Effects Of Bankruptcy: Is There Life After Bankruptcy?
One of the most common reasons people hedge on declaring bankruptcy is because they think they’ll never be able to get a credit card, buy a house, or finance a vehicle again. They picture themselves having to live strictly off of cash, and make weekly trips to Western Union to pay bills.
Fortunately, that is not the case. Although a Chapter 7 bankruptcy will stay on your credit report for up to ten years, it won’t keep you from rebuilding your financial life.
First, when you get rid of your unsecured debt through bankruptcy, your credit score will likely improve. Your credit reflects not only your credit history, but also the amount of debt you have… so the part of your score related to your debt will go up when your debts are discharged.
Getting an unsecured credit card might be a bit tough during your first year after personal bankruptcy, but that doesn’t mean you can’t get a credit card at all. You should obtain a secured card as soon as possible after your bankruptcy – the card will be pre-paid, meaning you can only spend as much as you load onto the card – but it will dramatically improve your credit score. Plus, it frees you from having to use cash to pay bills.
It’s also possible to buy a home just two years after bankruptcy, as long as you make all of your debt payments on time after the discharge. You will probably pay a slightly higher interest rate than a buyer with a clean credit history, but you may be able to refinance at a lower rate after you have been in the home for two years.
Most car lenders will want you to wait a year after your bankruptcy before you purchase a vehicle – after that, you should be able to get a car loan, albeit at a higher interest rate than you’re probably used to. If you absolutely cannot wait that long, purchasing a car from a “buy here, pay here” dealership is a viable option.
Life after bankruptcy can certainly be a challenge, but it is not as bad as most people think. You can reestablish your credit quickly, and within a couple of years, your life will be back to normal.
And by now I bet you are ready to learn more about whether bankruptcy is right for you, right? So then now I would like to invite you to claim your FREE information when you visit http://www.NewYorkBankruptcyHelp.com
You’ll get tons of free information about filing for bankruptcy, dealing with harassing bill collectors, and hitting the reset button on your financial life. You’ll also get my free book about how to fight back against abusive bill collectors.
Article Directory: Article Dashboard http://www.articledashboard.com
More Mortgage Stuff:
One of the most common reasons people hedge on declaring bankruptcy is because they think they’ll never be able to get a credit card, buy a house, or finance a vehicle again. They picture themselves having to live strictly off of cash, and make weekly trips to Western Union to pay bills. Fortunately, that is not the case. Although a Chapter 7 bankruptcy will stay on your credit report for up to te…
So you’ve taken a good, hard look at your financial situation, and you’ve determined that bankruptcy is the only viable way out. You’re probably wondering, though, if you’ll ever be able to establish credit again. This is one of the things that keeps many people from filing bankruptcy, even when they know there’s no other good option. The good news is, you can reestablish credit after bankruptcy…..
So you’ve taken a good, hard look at your financial situation, and you’ve determined that bankruptcy is the only viable way out. You’re probably wondering, though, if you’ll ever be able to establish credit again. This is one of the things that keeps many people from filing bankruptcy, even when they know there’s no other good option. The good news is, you can reestablish credit after bankruptcy…..
Bankruptcy can be quite a long and painful process, but once it is over and your bankruptcy discharge has been issued, it is time to think about the future. Re-assessing your financial status is important following bankruptcy, as you need to fully understand the implications, and of course, what steps you should take next. Getting yourself back on the road to gaining good financial status is a ver…
Bankruptcy can be quite a long and painful process, but once it is over and your bankruptcy discharge has been issued, it is time to think about the future. Re-assessing your financial status is important following bankruptcy, as you need to fully understand the implications, and of course, what steps you should take next. Getting yourself back on the road to gaining good financial status is a ver…
Most people think that if you have a bankruptcy listing on your credit report, you have zero chance of ever getting a mortgage again. Even four or five years ago this might have been true, but these days it’s definitely possible to get a mortgage, even if you have a bankruptcy in your past. Bankruptcy definitely doesn’t help your credit rating at all, but if you explore your options fully, you’ll …
Most people think that if you have a bankruptcy listing on your credit report, you have zero chance of ever getting a mortgage again. Even four or five years ago this might have been true, but these days it’s definitely possible to get a mortgage, even if you have a bankruptcy in your past. Bankruptcy definitely doesn’t help your credit rating at all, but if you explore your options fully, you’ll …
Experienced bankruptcy lately? You may wonder if you will still will be able to get a home loan. You may also be wondering if buying home after bankruptcy is a good idea for you. While bankruptcy can make your mortgage loan approval difficult, it is still possible to get approved. In fact there have been more and more, bad credit loans coming out all the time. They are called the Subprime lenders;…
Experienced bankruptcy lately? You may wonder if you will still will be able to get a home loan. You may also be wondering if buying home after bankruptcy is a good idea for you. While bankruptcy can make your mortgage loan approval difficult, it is still possible to get approved. In fact there have been more and more, bad credit loans coming out all the time. They are called the Subprime lenders;…
There’s no doubt that money is hard to come by these days. If you’re looking for proof, then just take a look at the number of car loan applicants who got rejected because they have been otherwise neglectful in paying their monthly bills and obligations. Everywhere you look, you see a few people filing for bankruptcy. But despite this, a lot of people continue to make requests for car loans. Why i…
Posted in Refinance