Improving your credit score and maintaining financial freedom after filing bankruptcy is possible. You need to take a few steps after filing bankruptcy. Your credit score is bound to be at its lowest if you had filed for bankruptcy recently. While taking such steps, some debts remain unpaid or partially repaid. Thus, such occurrence directly impacts your credit score and brings it down considerably.
Although bankruptcy filers start with a poor credit score, several steps can help in improving their time. Some of those have been discussed below:
Obtain A Secured Credit Card
People filing for bankruptcy might be hesitant in applying for a secured credit card, especially those who had large amounts of credit card debts in the past. However, obtaining a secured credit card in this scenario facilitates rebuilding credit and improving it further. You should look for a card that charges an annual fee of less than $30 and an interest rate of 15%.
Check Your Credit Score
Most people avoid checking their credit scores, but it’s an important part to rebuild credit. People after filing bankruptcy should not only check their scores but try to check inaccuracies too. They should be checking their credit scores and reports regularly as small improvements often keep them motivated to improve their credits further.
Pay All Your Debts In Full Each Month
In an attempt to reestablish credit, bankruptcy filers should always pay off their debts in full each month. Such practices help in informing the creditors that you are managing your debts better. Moreover, full monthly repayments have a positive impact on your credit score.
People filing for bankruptcy often try to rebuild their credit score as quickly as possible. However, rebuilding takes time and as per Consumer Financial Protection Bureau, a bankruptcy stays in a person’s credit report for at least a decade.
After filing for bankruptcy in Florida, a person might feel overwhelmed to establish good financial habits that benefit his/her credit scores on a long-term basis. Reaching a lawyer and following the filing process provides legal advice and guidance.
If you have any doubts or have recently filed for bankruptcy, you can consult Super Credit Repair. The company has experts who can guide you to improve your credit scores in Clearwater, Florida. They not only help in improving your scores but also guide you to maintain a good credit score for the long term.
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