This is a very common question. We generally tell people that their credit report probably doesn’t look great right now. Filing for bankruptcy will stop the aging process. Those things that are delinquent now will never get any older than on the date that you file.
Once you retain our office, our staff will show you how to re-establish your credit. We will give you a pamphlet to help you deal with your credit issues. For example, setting up a secured credit card after filing for bankruptcy is one way to help re-establish your credit.
If you file a Chapter 7, your creditors know that you cannot file another Chapter 7 for at least eight years. You often become a better credit risk than before you filed and creditors are often willing to give you credit after you receive a discharge. In our pamphlet, we give you a list of creditors who help our clients purchase cars and obtain mortgages after filing for bankruptcy.
If you file a Chapter 13, you can often use the payments made on the plan as a credit reference. After making timely payments for two years, many of our clients qualify to purchase homes and cars.