You need to be prepared with a plan to rebuild your credit after bankrutpcy.  As part of your Riverside bankruptcy and as part of our services, we provide our clients with an an in-depth detailed program to rebuild their credit one step at a time.   Generally, building credit takes common sense, time and diligence, however as bankruptcy attorneys we can give you guidance so you know what to expect and have specific advice in which to navigate your future and rebuild good credit.

We can provide you with information you need to start repairing your credit immediately with each of the credit bureaus.  With our advice you can develop long term financial security free from debt with a good credit score so that you can qualify for home and car loans.

Rebuilding Credit

If you exercise diligence in re-building your  credit, your ability to get loans at a reasonable interest rate, increases over time.  Shortly after your case is completed, generally 180 days, you probably will start receiving credit card offers, and loans at very high interest rates.  As you follow our plan and time passes you should begin to qualify for lower interest loans around  6 to 18 months after bankruptcy.  Around the 6 to 18 month mark mortgage lenders may be willing to give you a home loan albeit at a very high rate.  By continuing to follow our plan you may be able to qualify for lower interest home mortgages after around 36 months.

]]> http://www.riversidebankruptcy.org/17/rebuilding-credit/feed 0 http://www.riversidebankruptcy.org/23/credit-repair http://www.riversidebankruptcy.org/23/credit-repair#comments Thu, 27 Aug 2009 08:16:08 +0000 Riverisde Bankruptcy Attorney http://riversidebankruptcy.org/?p=23 Whether or not you declare bankruptcy we can assist you in repairing your credit. An improve credit score can help you obtain a lower interest rate on loans, get a car loan, and make you eligible for a home mortgage.

A credit repair attorney can provide you with a comprehensive assessment of your credit situation and reviewing credit report from all three major bureaus. If you do not already have up to date credit reports we can help you obtain them.

We will work with you to identify items on your credit report that we believe may be properly removed or corrected. Our credit repair lawyers will assist you in disputing negative items on your credit. Each of the credit bureaus are obligated to verify or remove the disputed items. With our legal knowledge we know how to ask for the appropriate documentation to ensure that the credit bureau only verifies those items it can support with evidence.

Credit bureaus usually send correspondence directly to the client, therefore you are responsible for forwarding all information to your credit repair attorney so that we may properly assist you with your credit repair in a quick and efficient manner.

While it is inevitably true that a bankruptcy on your credit hurts your credit score, the sooner you declare bankruptcy and bring your debt to manageable levels the sooner you can put it behind you and move on.  Although a bankruptcy can stay on your credit report for 10 years, the bankruptcy will affect your after bankruptcy credit less the further it was in the past.  In addition, you can start improving your credit immediately after bankruptcy by using any credit extended to you and making your payments on time.

For most, student loans with survive the bankruptcy.  Paying existing student loans on time will improve your credit score.  In addition, you will probably qualify for a very low limit credit card whether secured or unsecured.  Using this card each month and paying off the balance each month will improve your credit score.  Despite popular belief that carrying a balance will increase your credit score faster, we do not recommend carrying a balance because it is not proven to do so.  Even if carrying a balance is used in the credit score formula, the benefit is negligible and is offset by your debt to available credit ratio.  And in any event is not worth the benefit compared to your interest expense.

Further we can not stress enough the importance of using your after bankruptcy credit responsibly.  Use bankruptcy as an opportunity to get a fresh start and not make the same mistakes.