Credit After Bankruptcy
Obtaining credit after bankruptcy can be much easier for most people than they ever expected it would be. In the immediate aftermath of a bankruptcy discharge, potential creditors understand that you are now in a much better position to be able to honor your future obligations. Perhaps, for this reason, do not be surprised if you receive credit card offers and offers to finance automobile purchases following your Chapter 7 or Chapter 13 bankruptcy discharge.
Should You Avoid Bankruptcy In Order To 'Protect Your Credit Rating?'
Of course, not all potential creditors will overlook the evidence of bankruptcy that will normally remain visible on your credit record for 10 years. However, this is usually not a good reason for many people to avoid bankruptcy. In many cases, a debtor with a high debt load would not be eligible for credit from such creditors anyway. Refraining from filing bankruptcy in order to maximize future credit opportunities is not usually a productive strategy when you are drowning in debt.
How Does A Bankruptcy Discharge Facilitate Rebuilding Credit?
On the other hand, a Chapter 7 or Chapter 13 bankruptcy discharge can be an effective path to rebuilding credit. Bankruptcy is designed to give people with financial problems a fresh start. People who have struggled with excessive use of consumer credit in the past will want to think carefully before taking advantage of offers of new credit cards or car loans. Rebuilding credit is more likely to be successful after you have taken steps to address problems that led to unmanageable debt in the first place. For best results, make efforts to control your spending while using credit sparingly and responsibly.
For additional advice pertinent to your particular circumstances, consult with a bankruptcy attorney. At Edwin L Feld & Associates, we can advise you on specific aspects of credit after bankruptcy that have brought you to this Web page.
We will be glad to discuss concerns you have about bankruptcy and credit after bankruptcy. We can address your specific questions as we review the circumstances that led you to consider filing Chapter 7 or Chapter 13 bankruptcy.
Contact Our Chicago Bankruptcy Attorneys
At Edwin L Feld & Associates, we offer the benefits of our experience, compassion and personal service to those who seek our counsel. Discuss your questions about bankruptcy and credit after bankruptcy with one of our knowledgeable debt relief lawyers. To schedule a free consultation at any of our convenient office locations, contact us toll free at 888-645-4357. You may also contact us by email.