Filing for bankruptcy takes a toll. It can negatively impact your personal and social life, but most discernibly, your financial life.
There is a huge urban legend circulating all over the Internet telling stories of how bankruptcy is the end of your credit history, or how it is impossible to get a clean slate after a bankruptcy. But today, I have some really good news for you. HTP Enterprises has more than 15 years of experience in the industry and is highly equipped to dispute or rid of filed bankruptcies. Yes, you read that right. You can actually get your bankruptcy off of your credit report!
It might sound too good to be true but you can head over to their site and sign up for a complimentary consultation today! Why should you wait for seven years or a decade to start anew? Start rebuilding your credit now.
And if you want to learn more about the effect of bankruptcy on your credit and how you can slowly work your way out of it, then keep scrolling for the crash course they prepared for you.
Why should you care about building your credit score back up?
According to the most recent source, the average credit score for Americans is at 713. That score falls at the higher end of the “good” credit score range which is set at 670-739. And to an ordinary person, this range may just seem like a bunch of numbers, but if you want to start building your credit score back up, especially after filing for bankruptcy, then you need to start caring about what these numbers mean.
Why, you ask?
Well, having a great credit score of 700 or higher would mean that it would be super easy for you to get approved for loans and credit cards, and you would most likely get minimal interest rates. Basically, your financial life would be smooth and hassle-free!
On the other hand, having a poor credit score of anything that ranges from 300 or lower to 600, means nothing but a huge headache. For starters, it would be harder for you to apply for a new loan.
People with low credit scores are considered a huge risk. So if you have a low credit score, no lender would be willing to easily approve you of a new loan. This could mean a longer, more tedious process, stricter terms, ridiculously high interest rates and charges, or all of the above.
In addition to that, you would also have a hard time applying for a new credit card, getting a new apartment, buying a new car, or even applying for something as simple as a cellphone contract!
To cut it short, a poor credit score could negatively affect every aspect of your life that requires money—which is pretty much every aspect of your life.
What should you do now?
1.Make sure that your bankruptcy report is filed accurately. To do that, check your credit report after filing. Know that if you were able to file for bankruptcy, your report should show that you have a zero balance.
Any outstanding balances and delinquent charges that are discharged through your bankruptcy should not be displayed. And check this not once, or twice, but at least every four months to ensure that every payment and transaction you do from here on is accurately posted.
Checking your report may cost you a bit, but knowing these numbers and getting an updated figure does not only help you keep track of the report’s accuracy, but it would also keep you aware and accountable of your financial status.
2.Start paying off all your outstanding balances as soon as you can. If you can, it is best to pay your debt, interests and all, in full to avoid gaining even more interest, late fees, or any other charges.
If that is not possible, try paying off more than the minimum required payment each month so that you can get rid of the balance faster with minimal to no interest charges. If that would still be hard for you to maintain, the least you could do is pay off your balances slowly but surely given that you make regular payments.
(Note that your payment history is a huge factor to your credit score so any late or missed payment is a big no-no.)
3.Try your best not to rack up more debt. Sounds easy, right? But let us face the facts, if you filed for bankruptcy, you probably faced some sort of financial trouble. So, learn from that experience and make smarter financial choices this time.
Consider revamping your weekly, monthly, and annual budget, open up a savings account if you don’t have one already to store any extra penny, and…
4.Get a secured credit card. As I have mentioned, it would be challenging for you to get approved for one, but if you do, use it to your advantage. Consider this as a chance for a fresh start.
Since a savings account would not really help your credit score go up or down, getting a new credit card is your best chance to start gaining some score. Mind the interest rate, the due dates, and fees, and use the card sparingly. Just use it enough to have some activity and pay it on time to reflect a great payment history.
5.Don’t be afraid to ask for help. This is undoubtedly a messy process but if there is one good thing about it, it is that you don’t have to do it alone. Aside from being able to help with bankruptcy removal, HTP Enterprises can also help you rebuild and maintain your credit score!
Testimonials from their satisfied customers are promising, and their rates are fiercely competitive too!
They have been in this industry for over a decade and it’s not without good reason. So, whether you are here for some financial advice, or is just looking to learn more about the industry and its secrets, I would recommend you to check out their services.