How Will Bankruptcy Affect My Credit?

A common misconception about bankruptcy is that it will ruin your credit. This is a myth that has even prevented many people from getting the relief that they need. Bankruptcy can actually help you take back control of your credit score by stopping the debt cycle that initially damaged your credit.

How will bankruptcy affect my credit? Don't let this question stop you from getting relief. Call my law office in Jonesboro, Georgia, at 770-603-6572 for help.

I am Allen Hammond, a bankruptcy lawyer with over 20 years of experience. At my law firm, Hammond & Hammond, P.C., we help you solve the underlying debt issues that led to your need for bankruptcy protection and provide you with the guidance you need to rebuild your credit.

Bankruptcy Is Only One Aspect Of Your Credit Score

It is important to know that your credit score is determined by a number of factors, and bankruptcy is just one of them. A Chapter 7 bankruptcy is reported to credit agencies for 10 years and a Chapter 13 bankruptcy is reported for seven years.

When you become my client, I will provide you with detailed instructions on how to re-establish your credit based on your individual circumstances, but here are a few basic principles.

  • Pay your bills by the due date. Set up reminders to help you stay on schedule.
  • Try not to use your credit card. If you must, use one card and make sure that you can pay the entire balance every month.
  • Don't open any new credit cards or accounts.
  • Keep good debt. If you were or are in good standing on an account, it is okay to leave it on your credit report.
  • Don't take out cash advances or charge items at businesses that have a financial risk factor, like pawnshops.
  • Continue to reduce your debt to asset ratio.
  • Pay attention to your score and keep an eye out for mistakes or reporting errors.

Want To Know How Bankruptcy Could Actually Help Your Credit? Call Now.

Contact my law office to learn more about how bankruptcy could help you get out of debt and rebuild your credit score. Call us and you won't have to wait to sit down with an attorney. Dial 770-603-6572 or complete our online form.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.