How to recover your credit following a Chapter 7 bankruptcy

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How to recover your credit following a Chapter 7 bankruptcy

Dollar amount increase. Represents credit score increase.

People will often seek a chapter 7 bankruptcy lawyer in order to find out the necessary means for relieving their debt. However, there is one debt that comes as a product of filing for bankruptcy. It is not a literal financial debt. Instead, it is a debt in reputation: credit. This is often the main thing that people fear when filing for bankruptcy. How will they recover their credit once the bankruptcy is stamped on their credit score?It might seem like a ditch that is impossible to get out of. Well, as a chapter 7 bankruptcy lawyer, I would like to say that it certainly is not the end.

 

First Steps to rebuilding credit

If you are in need of bankruptcy, then chances are that your credit wasn’t doing so well anyway. So with your debts resolved, what is the next thing to do? The name of the game is proving that your credit is trustworthy. First, create a budget to follow. Use what you have to measure out your different categories of necessities (living expenses, career, etc.). As your chapter 7 bankruptcy lawyer, I can help guide you through the budgeting process. With someone else by your side, the workload won’t seem as overwhelming.

 

Personal strategy

The more responsible you appear, the more your credit will grow. This makes things easier for those with high income. But for those without high income, all you need to do is legally build credit in any way that you legally can. A good way to do this is by making timely payments. It might also help to open up a new, secured credit card account. With chapter 7 bankruptcies, there is no limit to how you build your credit back up. Things are starting to look up.

 

Further advisement

We at RLC understand the profound effect that bankruptcy can have on your financial lifestyle. It can be devastating to your business and personal life. That is why we are here to make sure that each of your concerns is well met. As your chapter 7 bankruptcy lawyer, I will make sure that you receive the best possible deal. And as your business counselor, I will be sure to guide you towards the best course of action to rebuild your credit. For more information on our bankruptcy law services, be sure to contact RLC today. We are here to help you take the load off of your shoulders when dealing with bankruptcy. Although it may seem impossible, we will turn your negative financial situation into a hopeful one. However, if you feel that chapter 7 is not necessarily the best option for you, there is no need to worry. We specialize in other areas of bankruptcy, which can be viewed here.