The Bankruptcy Law Center
Law Office of Don Provencio, PA
Albuquerque, NM

The Bankruptcy Law Center - 505-242-STOP (7867)

Getting A Fresh Start After Bankruptcy
It may be hard to picture now: but, there will be life after debt, and, there will be life after Bankruptcy. People are able to borrow money after bankruptcy. I know this for a fact because, after almost 30 years as a bankruptcy attorney, I have clients that returned for a subsequent bankruptcy case which means they had the ability to obtain credit again. Filing for Bankruptcy can provide you with the fresh start you need and the opportunity to rebuild your credit rating, taking back control over your finances.

Preparation Is The Key To Restoring Your Financial Life
After your Bankruptcy is finalized it will be important to take steps to restore your finances such as focusing on prudent spending and budgeting. You will need to be more budget-conscious, identifying what went wrong and being prepared, so it does not happen again.

Restoring Your Credit
You can begin rebuilding your credit soon after your Bankruptcy filing by getting a credit card with a small credit limit and paying off your balance each month. Banks will be looking at your credit history and not just your Bankruptcy filing to determine your future credit worthiness; so, it is important to begin rebuilding your credit as soon as possible.

How Long Until Life After Bankruptcy Begins?
When a Creditor is loaning money it determines your credit worthiness through a debt-to-income ratio. Usually your debt-to-income ratio is much better after a Bankruptcy has discharged your debt. Be aware that if you file for Chapter 7 Bankruptcy the process will typically last 90 days and stays on your credit report for 10 years. The process for Chapter 13 Bankruptcy typically lasts three to five years and stays on your credit report for 7 years. Chapter 13 Bankruptcy can sometimes be perceived by future Creditors as if you were trying to repay your debts, but that is not usually the reason people file for Chapter 13 Bankruptcy. Bankruptcy does not fix your credit report. Filing a bankruptcy prevents creditors listed in your Bankruptcy from collecting a debt in the future. The elimination of debt and the passage of time are typically the cure for a bad credit report. To learn more about your Bankruptcy options and what you can do to restore your credit after Bankruptcy make an appointment for a free consultation.