Bankruptcy Credit Repair - Report Tips for People on the Edge
If you've gone through a recent bankruptcy, or are wondering how your credit is going to look if and when you need to file, the following article should hopefully shed a little more light on what you will need to do to get your report pointed in the right direction.
While no derogatory items on your credit report are good, obviously there exists a hierarchy, or sliding scale of red flags when a potential creditor looks at your score.
One of the worst things they can see, obviously, is a previous bankruptcy.
For the very same reasons you filed bankruptcy in the first place, ( more than likely to settle your debts for a fraction of their high balance ), is the exact reason that new creditors will be more apprehensive about giving you credit in the future.
No one wants to get stuck with settling for pennies on the dollar when the lend money, and regardless of how big and impersonal they may seem on the outside, that includes your bank! Now, with that said, there are some advantages as well.
Due to the time limitations that apply to bankruptcy, you are actually less of a risk to re-file than the average new credit consumer, so in some cases, you may actually have an easier time getting new credit than you expect.
Also, and of course depending on the type of bankruptcy you file, you will have a much "cleaner" slate than most, and after a few years of maintaining a positive ( even small) credit history, you will ironically find your FICO score may even be higher than friends of yours who carry high credit card balances, yet, have never even had one late payment.
Strange, but very true! As far as the actual credit repair process, a bankruptcy is very simply approached in the very same way as any other negative information, and is disputed using the very same methodology that would be applied to other items.
Often times, due to the nature of public record information, you will actually find it easier to find inaccuracies and erroneous tidbits within the file itself, making these sorts of records actually EASIER to remove from your credit report than simple 30 day late credit card accounts.
While your primary concern should always be for your financial health and wellbeing in the present moment, and a bankruptcy is not designed to be a pleasing thing, if your situation warrants it, it can provide a much needed relief from the financial pressure that you may be feeling.
And again, while you should never approach a bankruptcy from the standpoint of the ease of removing it from your credit report later in time, do know that much like the tens of thousands of other negative items that consumers like you and I remove from OUR OWN files on a regular basis, a bankruptcy is no different, and with the appropriate amount of know how, can be disputed with the very same techniques.
While no derogatory items on your credit report are good, obviously there exists a hierarchy, or sliding scale of red flags when a potential creditor looks at your score.
One of the worst things they can see, obviously, is a previous bankruptcy.
For the very same reasons you filed bankruptcy in the first place, ( more than likely to settle your debts for a fraction of their high balance ), is the exact reason that new creditors will be more apprehensive about giving you credit in the future.
No one wants to get stuck with settling for pennies on the dollar when the lend money, and regardless of how big and impersonal they may seem on the outside, that includes your bank! Now, with that said, there are some advantages as well.
Due to the time limitations that apply to bankruptcy, you are actually less of a risk to re-file than the average new credit consumer, so in some cases, you may actually have an easier time getting new credit than you expect.
Also, and of course depending on the type of bankruptcy you file, you will have a much "cleaner" slate than most, and after a few years of maintaining a positive ( even small) credit history, you will ironically find your FICO score may even be higher than friends of yours who carry high credit card balances, yet, have never even had one late payment.
Strange, but very true! As far as the actual credit repair process, a bankruptcy is very simply approached in the very same way as any other negative information, and is disputed using the very same methodology that would be applied to other items.
Often times, due to the nature of public record information, you will actually find it easier to find inaccuracies and erroneous tidbits within the file itself, making these sorts of records actually EASIER to remove from your credit report than simple 30 day late credit card accounts.
While your primary concern should always be for your financial health and wellbeing in the present moment, and a bankruptcy is not designed to be a pleasing thing, if your situation warrants it, it can provide a much needed relief from the financial pressure that you may be feeling.
And again, while you should never approach a bankruptcy from the standpoint of the ease of removing it from your credit report later in time, do know that much like the tens of thousands of other negative items that consumers like you and I remove from OUR OWN files on a regular basis, a bankruptcy is no different, and with the appropriate amount of know how, can be disputed with the very same techniques.
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