After a bankruptcy, you will probably have questions on how to re-establish your credit rating. It is important to work on rebuilding credit as soon as possible after your bankruptcy proceeding is complete. In a Chapter 7 bankruptcy, where all of your unsecured debt is eliminated, you can work on fixing your credit immediately. With a Chapter 13, you must wait until after the three to five years of repayment for your credit rating to rise again.
Pasadena Lawyer on How To Re-establish Credit
A bankruptcy will show up on your credit report for approximately seven to 10 years after you file. The first few years after filing you will still be considered a high credit risk and will likely have much higher interest rates on any new debt you acquire. In some cases such as with renting an apartment, you might require a co-signer for up to two years after you file. It is a wise idea to start with a secured credit card and work on paying the balance every month. The most important thing to remember when trying to rebuild your credit is to stay current on remaining payments you have (such as a mortgage) and to not carry a balance on any new unsecured debt.
When you retain the Law Offices of Cynthia Gibson, A Professional Law Corporation, to represent you in bankruptcy, I not only work with you to plan your bankruptcy, but will also help you establish a personal plan for rebuilding your credit.
Gardena Lawyer on Rebuilding Credit
The Law Offices of Cynthia Gibson provides legal advice and representation for bankruptcy clients in Gardena, Pasadena and Seal Beach, California, and communities throughout Los Angeles County, Orange County, South Bay, San Gabriel Valley and Southern California. Contact attorney Cynthia Gibson for comprehensive bankruptcy services and to schedule a free initial consultation. Our Gardena office is located just off of highways 110 and 405. Our Seal Beach office can be found at the crossing of highways 405, 22 and 605.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.