One of the most common questions our prospective consumer bankruptcy clients have is how the filing of a bankruptcy will affect their credit and how long the bankruptcy will stay on the credit report. These are great questions that deserve answers. The short answer is that a bankruptcy will stay on your credit report for ten years. However, it is possible to rebuild a great credit history in as little as 12-24 months after the filing for bankruptcy. At MHMLPA, we educate each and every one of our clients how to rebuild and recover their credit so that they truly benefit from the fresh start uniquely available to them under United States Bankruptcy law.
At MHMLPA, we help consumers who are drowning in debt that can never realistically be repaid. Our clients often come to us struggling and distraught. For many clients the bills are piling up due to a series of poor choices and overspending. For others, a medical calamity or accident has resulted in a large judgment and/or the garnishment of wages. Our clients typically do not have an immediate and solid plan for finding financial relief, and are tired of living paycheck to paycheck, seeing the vast majority of their earnings being paid to their creditors.
When we take on a new consumer bankruptcy case, we do so in order to prevent our clients from continuing to struggle in the coming years and even decades. Our commitment to our clients doesn’t end with the filing of your bankruptcy or the receipt of a discharge of indebtedness. We stay in touch and provide each and every client with the information necessary for them to achieve a great credit score within 12 to 24 months of a discharge in Chapter 7 or confirmation of a Chapter 13 case.
During the ten year period that the filing of a bankruptcy case remains on your credit report, you still have the ability to purchase a home, a car, apply for a loan and even a credit card; however, you need to be strategic and intentional in taking the right steps to build your credit. If you wait eight years after the filing of bankruptcy to begin taking immediate steps, it will then take another 12-24 months to establish a good credit rating. On the other hand, if our clients begin immediately taking intentional steps, they can achieve a good credit rating within 12-24 months, eliminating the high interest rates that lenders otherwise seek to charge post-bankruptcy borrowers.
If you are facing high credit card balances, non stop collection calls and searching for a fresh start; give us a call at Michael H. Moody Law so we can help guide you towards a healthier financial future. If you wish to break free of the debt cycle, call MHMLPA today!