There are times when debt becomes to much to handle and bankruptcy looks like an option you might choose.
Before you make your final choice consider a few of the long term effects that a personal bankruptcy has.
It's not that bankruptcy is wrong, you just need to know what's ahead.
Read on to see how bankruptcy will affect you in the your future.
Depending on if your file chapter 7 or 13 the bankruptcy filing will be on your credit report for 10 or 7 years respectively.
Long term effects
You can start rebuilding you credit the day after your bankruptcy is final and the banks have a secured credit program to help.
Remember: you are a better risk in some ways because a chapter 7 has dissolved you of all debt, you are debt free.
If you start a good credit rebuilding plan you should be able to get a home loan after two years at competitive rates.
Before you make your final choice consider a few of the long term effects that a personal bankruptcy has.
It's not that bankruptcy is wrong, you just need to know what's ahead.
Read on to see how bankruptcy will affect you in the your future.
Depending on if your file chapter 7 or 13 the bankruptcy filing will be on your credit report for 10 or 7 years respectively.
Long term effects
- Insurance - for some crazy reason your car and life insurance rates are affected by your fico score.
You will have to consult with a insurance specialist to find out why, but our guess is the insurance companies are just using this to increase rates.
Irregardless at this time that is where it stands. - Banks and Loans - you can still get a checking and savings account with your bank, but of course a unsecured loan will be tough for a while.
Surprisingly the two are independent and as long as you didn't overdraw your checking accounts in the past or have some sort of problem you should be able to open a account.
Even after a bankruptcy.
You can start rebuilding you credit the day after your bankruptcy is final and the banks have a secured credit program to help.
Remember: you are a better risk in some ways because a chapter 7 has dissolved you of all debt, you are debt free.
If you start a good credit rebuilding plan you should be able to get a home loan after two years at competitive rates.