How Can I Get Good Credit After Bankruptcy?
admin | Apr 22, 2010 | Comments 5
I am nearly 7 years out of BK as of March ’07. I have a car loan and a link low limit but hight interest credit cards that I have paid on religiously since.
I keep looking for better deals, but anytime I apply I make bankruptcy as the reason for denial.
How long will it take for me to make back to where I was. I had exact credit before a personal and financial breakdown.
Please only answer if you really know what your talking about. Thankfulness!
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Filed Under: Bankruptcy
I should reckon you’ll be back in excellent credit by now.
It seems like there’s two issues here. One of which is your credit score and the other is your credit report.
Your credit score is probably not terrible if you’ve had no late or missed payments on your cards and auto loan for about the last two years (if it’s been less than two years, your credit score is still repairing itself)
But, the lenders don’t only look your your score, but also your report, which shows the bankrucpty. You seem to be forgetting that lenders are a business. And as a business, they’re out to make money. No matter what your credit score may be, with that bankrucpty on your report, they’re not going to give you excellent deals because, frankly, they don’t have to. And by giving you high interest tariff on your loans and cards, they make more money.
You not going to be able to make a really excellent deal (assuming your score has repaired itself) until the 10-year mark is up and the bankrucpty no longer shows on your report. Basically, it’s an issue of- you did the crime (bankruptcy from the company’s point-of-view is theft), now they’re making you do the time (but at smallest amount it’s only 3 more years to go)
i attended a colloquium by Stephen Snyder about life after bancruptcy. They are emancipated and he tours all over U.S. Check his website for info and also you can make weekly newsletter with GREAT tips, advice, pitfalls to avoid, etc. from him. He has gone through bancruptcy himself and knows what he is talking about. You can investigate past newsletters here too. He will also give you lenders to contact for buying homes, cars, etc. in his website and newsletters. How to improve your credit score too. You will find this invaluable….http://www.LifeAfterBankruptcy.com/subscribe
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Make a copy of your credit report for emancipated from http://www.annualcreditreport.com – the Federal government has instructed the three major credit reporting agencies to provide reports emancipated of charge annually. Analyze your credit report to see what stands out and where the problems are. After seven years, the issues should initiation disappearing, but you should make sure that whatever is still programmed is clarified.
Contact the credit reporting agencies and work with them to provide explanations for the information on your credit report. If you’ve paid a touch off and it’s not reflected on there, make sure that gets changed. If a touch was beyond your control, you have the aptly to be able to attach an description.
Since you do have credit cards, light but regular usage of these should boost your credit rating. Try to never carry balance from month to month if you can, but at the very smallest amount pay off as much as you can to keep your interest payments down.
I would make extra efforts to pay off the card with the lowest balance. Keep the account open, but do NOT use that card. Then work to pay off the next lowest balance until you have only one card. Limiting your number of cards will make it far simpler to control your finances. There is no practical advantage to diffusion your debt across multiple cards.
The attached article also has some excellent thoughts. Hopefully it will aid! Excellent luck!
I declared banko two yrs ago and my credit is improving quick. I have only useful for one credit card within the past 2 yrs and I was approved. As far as getting better deals (I don’t know if you mean credit limit increases) I make offers in the mail just about every day for a credit card with a higher limit, I’m getting better offers now than before my bankruptcy and my credit was much better before I declared bankruptcy. Maybe you are not finding anything aptly now because you have lots of credit avl. such as your car loan and other credit card debt. You are also probably not getting any other offers because you are applying for too much credit.