No matter how hard you’ve tried to keep up with your finances, you still ended up filing for bankruptcy. It was one of those times of your life where everything needed to be budgeted, and drastic changes had to be made in order for you to continue living. It was one of the most trying times of your life, and of course, you would never want to go through that again. But now that’s now over and done with, you’re still stuck with a problem – you don’t know how to repair your credit after bankruptcy. Yes, that might be difficult to do, but as long as you know how, everything will come off easier. Let this article show you how to repair your credit after bankruptcy.
- Review your credit report: The first thing that you should do is review your credit report to know where you’re at and where you need to go. This information will help you determine as to what your strategies should be to have your credit repaired. And while you’re at it, you should also make sure that your credit report is free of any inconsistencies and errors, as this might have a snowball effect on your finances in the future.
- Pay your bills on time: Your payment history makes up 35% of your credit score. If you’re not paying attention to your due dates, your credit score will be affected adversely. Although it might be hard, you should prioritize paying for all of your bills, and this should be part of your weekly or monthly routine. You can set a reminder on your phone or mark your calendars just to ensure that you’ll not be making any delayed payments.
- Beware of credit repair services: There are a lot of credit repair services which can promise to help you in your dilemma. Before jumping to the conclusion of needing one in your dilemma right now, take the time to investigate these companies and make sure that they can meet your expectations. Don’t make rash decisions as these services are not cheap.
- Do not close accounts: You might think that closing all of your credit cards and other accounts can help you regain your credit but in reality, it can do the complete opposite. When you close your accounts, you’re actually reducing the amount of credit which can be available to you, and this can result in lower credit scores. It is better if you keep your credit lines open. To avoid the temptation to spend, cut up the card instead.
Doing all of these things might seem like a challenge to you, but you don’t have to go through all of these alone. If you think you can’t get up from the ruins of bankruptcy, you can always seek help from a bankruptcy attorney like this one here. A bankruptcy attorney can provide you the best options for your situation right now so you can gradually repair your credit.
Filing for bankruptcy and getting back on track from bankruptcy are two different things – two things which are very difficult to go through. And while you’re able to pass through these phases, you now have to think about how to repair your credit. This is something that should be your priority because if not, your employment and loan applications, among others, will be affected in the long run.