If you are struggling with deciding whether or not to declare bankruptcy, one of your largest obstacles may be what your life will look like following your bankruptcy. Will you ever be able to get a credit card again? Will you qualify for a home loan? Will you be able to make any large purchases? How long will your credit score be affected? Depending on the type of bankruptcy you file (either Chapter 7 or Chapter 13), your bankruptcy will stay on your financial report for several years and definitely affect your credit score. However, while having a lower credit score may impact your ability to make a large purchase such as a vehicle or home, with the proper steps you can take your financial fresh start after bankruptcy and ensure that you have a strong financial future.
Learn How To Budget
Many people ultimately declare bankruptcy because they were unable to follow a very strict budget. Take the time following your bankruptcy to truly establish a solid budget that you are able to follow. Unfortunately, many people file for bankruptcy more than once in their life simply because they are unable to follow a strict financial budget. Learning how to budget can be done either online or through the services of a financial expert. Make sure you do not skip this step if you want to ensure you have a healthy financial future.
Learn How To Save
A huge part of your new budget should be a savings account. No matter how much you make, you should save part of your income. This is an invaluable tool to learn immediately following a bankruptcy so that if another financial emergency happens, you are prepared.
Learn How To Use A Credit Card
If your financial challenges stemming from credit card abuses, you should take baby steps to relearn how to use a credit card appropriately. One of the ways to do this is to apply for a secured credit card. This type of card will require that you deposit money into a particular account which then you can use. It is similar to a debit card in that you are using the money you already have. This will help you reestablish your credit history and increase your credit score over time.
Learn How To Read Your Credit Report
Every person is allowed to look at their credit reports from all three credit reporting agencies once a year. However, you may want to invest in some sort of program that allows you to continually monitor your credit report and your credit score. This will help ensure that there is no fraudulent activity on your report, and help see how your actions following your bankruptcy are increasing your score.
Let Us Help You Today
At the law offices of Julianne Frank, Esq., our Jupiter bankruptcy attorneys can help you with your bankruptcy and ensure that you get a financial fresh start in the best way possible. Call our legal team at (561) 220-2528 for a free consultation today.