No. Many people believe their credit will be ruined for years after filing bankruptcy. While it’s true that the fact of a bankruptcy filing can remain on your credit report for 7 to 10 years after you file, a steady history of current, on time payments is more important than a prior bankruptcy. Creditors will look at how you have handled credit after your bankruptcy case was completed. Creditors and lenders are more concerned about your current status and current payments than the prior bankruptcy. Establishing a record of timely payments will lead to positive credit information on your credit reports. Many of my clients purchase new homes, vehicles, and qualify for credit cards a few months after their bankruptcy is concluded. In fact, many creditors will start offering credit right after the discharge. While interest rates may be higher, you can still get credit, despite a bankruptcy filing. You can usually expect it to take between 12 to 24 months after the case is concluded to be able to obtain credit at regular interest rates.
After receiving your bankruptcy discharge, you should obtain a copy of your credit report from all three credit reporting agencies--Experian, Equifax, and TransUnion. Review the information, and ensure that all debts are listed as “Discharged in Bankruptcy” on the reports with a zero balance. The credit reporting agencies are required by law to have accurate information, and ensuring that these debts are listed as discharged can actually help your credit to debt ratio, one of the factors evaluated in a credit score.
If you are struggling with your finances and need a rapid way to eliminate your debts, bankruptcy may offer the relief you seek and a path to re-establishing your credit. As an experienced and dedicated Fort Worth bankruptcy attorney, I can offer advice on how to proceed based on your particular situation. You and I can meet face to face to discuss your options. I look forward to helping you become debt free. To schedule a FREE consultation, please contact me at (817)-732-7590 or (972)-819-3861. You can also send me an E-mail or complete the Free Case Evaluation.