Central Business District, Alabama
4317 Downtowner Loop N
Mobile, AL 36601
(251) 342-0264

5 Tips for Rebuilding Credit After Bankruptcy June 11, 2018

Central Business District, Mobile
5 Tips for Rebuilding Credit After Bankruptcy, Mobile, Alabama

Bankruptcy is a useful financial tool designed to help people facing insurmountable debts. Some individuals are hesitant to file, however, because they believe it will permanently ruin their credit. As any bankruptcy lawyer will tell you, while filing does show up on your credit report, it is possible to improve your rating. Find out how.

5 Ways to Improve Credit Following Bankruptcy

1. Check Your Credit Score

If you want to improve your credit rating, you need to know what you are starting with. While it might be intimidating at first, checking regularly will get inspiring with time, as you watch your score rise from month to month.

2. Get a Secured Credit Card

bankruptcy lawyerA secured credit card requires you to make an initial deposit equaling the value of the card’s limit. These are easier to get than normal credit cards, making them a smart way to start rebuilding credit after bankruptcy.

3. Look Into Retail Cards

Store and gasoline cards likewise have less stringent requirements than regular credit cards—and they can also boost your credit rating. Just pay off the full balance each month, as these have high interest rates.

4. Request a Co-Signed Loan

You probably won’t be able to get a bank loan immediately after filing for bankruptcy. However, you can ask a close friend or family member to co-sign a loan, and boost your rating by making regular timely payments. Late payments will also impact your co-signer’s credit rating, so don’t make this request lightly.

5. Create a Budget

Consistent, timely payments on loans, credit cards, and retail cards will steadily increase your credit score. Get help from a bankruptcy lawyer or financial advisor to create a budget, ensuring you can make these payments every month.

 

A bankruptcy lawyer can provide additional insights on how to regain your financial footing. For advice in southern Alabama, look to Padgett & Robertson, Attorneys at Law in Mobile. Known for trustworthy advice, they will give you the honest insights you deserve. An initial consultation including detailed financial analysis is free. Call the law office at (251) 342-0264 or use the online form to request an appointment with their bankruptcy lawyers.

 

No representation is made that the quality of legal services to be performed is greater than the quality of legal services performed by other lawyers. We are a debt relief agency. We help people file for Bankruptcy relief under the Bankruptcy Code.

Other Announcements, Events and Deals from Padgett & Robertson, Attorneys at Law
Should You Take a Second Job or File for Bankruptcy?, Mobile, Alabama
Few situations are as stressful as falling behind on your debts, especially when you don’t seem to be making any progress. In some cases, taking a second job to pay down debt might s...read more
3 Reasons to Avoid Debt Settlement Companies, Mobile, Alabama
For a person dealing with unmanageable debt, a debt settlement service may seem like a good idea. But as any bankruptcy lawyer will attest, these services are rarely looking out for ...read more
Can Student Loans Be Discharged in Bankruptcy?, Mobile, Alabama
Student loans represent an enormous proportion of American consumer debt, totaling over $1.5 trillion, more than credit cards or auto loans. Graduating with tens of thousands of doll...read more
Can I Use My Retirement Funds to Pay Off Debts?, Mobile, Alabama
Are you looking at cashing in your retirement accounts to pay an overwhelming debt? You might consider consulting a bankruptcy lawyer as an alternative. Here’s why filing bankruptcy ...read more
An Introduction to Home Refinancing & Bankruptcy, Mobile, Alabama
Filing for bankruptcy initiates an automatic stay on foreclosure, which can be a godsend when the risk of losing one's home is imminent. But many bankruptcy filers understandably wan...read more