Building your credit score after personal bankruptcy

Every year, many people in Fort Lauderdale find debt relief from personal bankruptcy. Filing for bankruptcy can help in a variety of situations; whether you are struggling with unemployment, have high medical bills, or you have overwhelming credit card debt, bankruptcy can give you the fresh start you are looking for. Despite this, many people are hesitant to file. They may be afraid of the negative stigma attached to bankruptcy or the poor credit score that comes with it. The important thing to remember is that you can rebuild your life after bankruptcy.

Once you have filed for bankruptcy, you must address the reasons you were struggling to pay your bills. This requires taking an honest look at your finances. You will probably have to cut down your expenses or find a larger source of income. If your bankruptcy was caused by an expensive health crisis, it may be a good idea to start a savings account for such emergencies.

You should also begin taking steps to repair your credit. In order to do this, you will need to pay all of your bills on time. One financial expert also recommends applying for a secured credit card. These function like debit cards and can help rebuild your credit profile. This process may take several years but it is important that you do not get discouraged and give up.

You should not be embarrassed by the prospect of filing for bankruptcy. If you are struggling to make ends meet, bankruptcy is an honest and realistic way of dealing with your situation. For more information, you may want to contact a lawyer.

Source: myfoxphilly.com, “Find your financial footing after bankruptcy,” Andrew Housser, Sep. 30, 2013