Many bankruptcy petitioners are extremely concerned with their credit score. Some enjoyed the benefits of a fantastic credit score pre-bankruptcy and despair ever getting it back. You may find yourself wondering, “Can I get back the 750 credit score I had before I filed for bankruptcy?” If you do, you aren’t alone. This is a common problem and a common reason for putting off filing.
It’s a matter of pride for many people that they have a good credit score. Some have worked very hard at it. No one is going to fault you for wanting a good credit score. It comes with financial benefits. The fact of the matter is, your credit score is going to be damaged after you file for bankruptcy. But it’s also a fact that you can rebuild your credit after filing for bankruptcy. In many cases, credit scores can be repaired/recovered within a few years of receiving a discharge of debt through bankruptcy.
How Should Bankruptcy Filers Go About Repairing Their Credit Scores?
- Check your credit reports regularly. You have a bankruptcy on your record that is damaging your credit score. Make sure nothing else damaging is coming up that shouldn’t be there.
- Keep your reports updated: check your personal information is accurate, including your residential history. If possible, you should attempt to provide a stable rental history. This will aid you in reaching your goals of a good credit score.
- Make sure that all accounts discharged in your bankruptcy are actually showing “discharged in bankruptcy.” Your last delinquent payment should be from the month after you filed for bankruptcy.
- If there are any inaccuracies on your credit report, go through the process to have them removed or corrected.
- Request credit report inquiries be removed if they are not legitimate.
- Be aware that some items can only stay on your credit report for a certain amount of time; if they are listed beyond the allowed time, request that they be removed. In general, an account can only remain on your credit report for seven years after the date of the last activity on the account (last payment/purchase).
- Make sure any new collection accounts that have appeared after filing are accurate. Some of the collection agencies related to debts discharged in your bankruptcy may not have received the bankruptcy notification.
After you’ve completed these steps, it’s time to attempt to obtain a new credit account through which you can start receiving positive payment history reporting to your credit reports. Post-bankruptcy, many start off by obtaining a secured credit card simply to get a positive payment history. If you need assistance planning your credit score recovery post-bankruptcy contact the southern California bankruptcy attorneys at Westgate Law.