Can I Rebuild My Credit after Bankruptcy? The Answer is Yes!
Bad credit records such as delinquencies, too much outstanding credit, slow pays, etc are all negative marks that will remain on your credit record for up to 10 years. In most cases, although the creditor may not be actively pursuing your debt, the debt remains valid and open to collection through wage garnishment or bank account seizure. Bankruptcy solves this problem because it eliminates your debt. After bankruptcy, your financial situation will be far better as you will no longer be shuffling funds in an attempt to cover all the bills. After bankruptcy, our clients are excited to create a new budget… that includes savings!
Usually within a year of filing bankruptcy, your credit record will improve substantially. You will become a better credit risk than you were prior to the bankruptcy. For many, bankruptcy is the first step toward better credit, financial freedom and saving for the future.
Once you complete your case and your debts are discharged your old debt is eliminated. You will have a Fresh Start! Most creditors will see this fresh start and lack of other debt as a positive. One Caveat—creditors now want evidence that you can handle credit going forward. For this reason, after you file bankruptcy it will be extremely important that you control your use of credit.
Initially, bankruptcy will be a hit on your credit score but in the long run, the notation “discharged in bankruptcy” is much better than having your accounts reported as delinquent and open. We recommend that soon after your bankruptcy discharge you get a copy of your credit report. Review this report carefully, check to make sure that the debts you included in your bankruptcy are reported to be DISCHARGED with a ZERO balance. Dispute any accounts that have not been updated.
Depending on when you file Chapter 7 or 13, a bankruptcy will stay on your credit for 7-10 years. Despite this, you will soon have the opportunity to rebuild your credit. Some companies cater to those who have filed bankruptcy by offering secured credit cards with low credit lines and high interest rates. If you use this credit wisely and make all your payments on time you will prove that you have become a good credit risk.
What Factors Will Affect My Ability to get Credit?
Factors that are considered: Income, Job History, Credit Score, Debt-to-Income Ratio.
After Bankruptcy We Encourage our Clients To:
Periodically monitor your credit record and dispute errors.
Make “on time” payments.
Maintain a stable job history.
Deliberately and thoughtfully apply for new credit.
Use no more than 10-30% of your available credit.
Are You Ready for a New Start? We Want to Help!
The lawyers of Keegan & Co. Attorneys have over 55 years combined experience helping people just like you resolve debt issues. Our attorneys have handled several thousand bankruptcy cases from the simple to the most complex. In all likelihood, we’ve seen your situation or type of problem dozens of times before. We can almost always help, even if it’s just advice on how to avoid bankruptcy.
Many are surprised to learn just how quick and painless the bankruptcy process is. You will need to provide us with certain documents and it is required that you take two short online credit counseling classes. Our attorneys will handle the rest. You and your attorney are required to appear for just one hearing. These hearings are held at our office.
Consultations are free and at Keegan & Co Attorneys and will always be with an experienced attorney, never with a paralegal or secretary. Call 513-752-3900 to schedule your personal consultation. We look forward to meeting you!
Are you thinking of filing bankruptcy and looking for an attorney to represent you through the process? Calling around to get a fee? Looking for the lowest fee possible? Remember you get what you pay for. Bankruptcy is a very technical process and must be done correctly to receive a discharge of your debts and protection of your assets.
Don’t be penny wise and pound foolish. Seek an experienced bankruptcy attorney to move you through the process. Don’t lose $10,000 trying to save $100 in fees. Our office has handled 1,000’s of cases and we have the ability to represent you. Our number one goal is to work toward the best long term outcome for you and your family.
OUR LAW OFFICE
Since 1992, the primary focus of Keegan & Co. Attorneys, LLC is bankruptcy law. Our experienced attorneys will guide you through to a debt free life. We have over 55 years of combined experience.
Call 513-752-3900 to schedule a free consultation to discuss your individual situation. Our attorney will advise you as to the best road for you. Sometimes bankruptcy is the answer, sometimes it’s not the best decision. We will advise what is best for you.
At this free consultation the attorney will quote you a fee. We will accept monthly payments until your case is filed.
Good people find themselves deep in debt for a lot of reasons: Job loss, health issues, and divorce are common reasons for debt problems. We see people try all kinds of ways to try to stay ahead. Here are some things that you should NEVER do:
Do not take out a second home mortgage to pay debts. This transfers unsecured debts to secured debt attached to your home. If you cannot make payments your creditor will foreclose on your home. It is possible to protect your home in bankruptcy.
Do not pay debts using your retirement savings account. Retirement accounts are protected through a bankruptcy filing.
Do not max out your credit cards to stay afloat. Recently incurred charges may not be able to be discharged through a bankruptcy filing.
Do not transfer your home to another person to avoid having a lien placed on your property. Call us first to discuss any such transfers.
Bankruptcy is not the end of the world. There are hundreds of thousands of bankruptcy filings in the United States each and every year.
Here are some thoughts of things to do when filing for bankruptcy.
Do consider this decision very carefully. Under Chapter 7 you will only be able to receive a discharge every 8 years. There are other options if you have filed within the last 8 years and are struggling. Contact us for a free consultation.
Do follow the advice of your attorney. At our office we have over 55 years of combined experience and will be able to guide you to make sure your bankruptcy is as painless as possible.
Do be honest in all of your answers on the petition. Be sure to list all assets and not leave anything out. We can usually protect your assets with full disclosure and some pre-planning.
Do be sure to list all of your creditors on your petition.
Do close any bank accounts with which you have credit lines or credit cards. This will prevent the account from being seized by the creditor.
Bankruptcy is a serious decision and should not be taken lightly. Contact our office for your free consultation to discuss your individual situation to see if bankruptcy is the right decision for you.
Address: 4440 Gleneste-Withamsville Rd. Suite 350, Cincinnati, OH 45245
Phone: (513) 752-3900
Address: 6730 Roosevelt Ave #104, Middletown, OH 45005
Phone: (513) 422-2994
Ohio Bankruptcy Attorney
STOP: Credit Calls, Utility Shut Offs, Repossessions, Garnishments and Foreclosures
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