Life after Bankruptcy

Information from Franklin Bankruptcy Attorneys

Life after bankruptcy is life with a fresh start but also with some new challenges. You no longer have to deal with creditors or collections agencies harassing you. You are, essentially, debt-free except for any debts, such as car loans or mortgages that you kept after bankruptcy. Your credit score may have been lowered more than 200 points, although this is a result of not only your bankruptcy but your credit history leading up to it. Your bankruptcy usually remains on your credit report for 10 years. Even so, once your debts are discharged, you need to begin saving money and rebuilding your credit while maintaining financial stability.

If you need legal assistance with bankruptcy or any matter related to it, it is in your best interests to talk to an attorney whose field is bankruptcy law. We recommend that you contact a Franklin bankruptcy lawyer at our firm if you have any questions about filing for bankruptcy or what will happen to you, your credit, and other matters after bankruptcy. Our firm focuses on bankruptcy for clients in middle Tennessee, including all of Williamson County, the cities of Franklin, Brentwood, Spring Hill, Fairview, College Grove, Columbia, Lewisburg, Lawrenceburg, and Centerville.

What Happens after Bankruptcy?

You will be able to rebuild your credit by paying all your bills promptly, especially auto and home loans if you still have them. You can also get secured credit cards from financial institutions that specialize in extending credit to persons after bankruptcy. However, you should choose these credit offers wisely, ensuring that you don't wind up with activation fees, membership fees, or other administrative charges that push you to your credit limit before you've even used the card. Once you do find a credit offer from a reputable company that is reasonable, make sure you use it sparingly and pay your bills on time.

You may not be able to get auto or home loans right away after a bankruptcy. But, after a few years of paying your bills on time and rebuilding your credit to a better score, your new credit history may make you eligible for these types of loans as well.