I can imagine how devastating it is to go through bankruptcy. The dilemma alone of answering harassing phone calls from bill collectors and creditors worsens the emotional and mental turmoil from worries there already are about payments, expenditures for utilities and necessities, keeping a job or looking for one, adjustment over lifestyle changes particularly cutting costs on all possible details like food, rent, car, travel, clothes and shopping related items, bars and parties. These detailed areseemingly vain only and may even remind you of a light hearted Hollywood flick about a girl with a green scarf who had gone thru the same personal issue with debts and credit cards. This may be due to less responsible spending habits over materialistic desires as backed up by a stable income at work.
Whether the effect is as real as moving to a low cost housing project and watching your expensive car towed or may be comparably vain as the movie I have mentioned, most can relate to bankruptcy and the effect it brings to your credit history which overshadows the present all the way to the future. This does not even include everything you have to pay for and basic necessities you still need to cash out for everyday.
Repairing credit after chapter 7 or chapter 13 filing of bankruptcy should be dealt with as a challenge and not as nightmare. Like a challenge, you can eventually win over it in time with proper coaching and daily training. True, a bad credit history remains on your file for at most 10 years but it had been proven that 18-24 months is long enough to bounce back. To rebuild credit after bankruptcy, it is best you start right away. Repairing credit after chapter 7 is definitely not going to be easy but there are proven methods which other people who had gone through the same monetary trauma had tried and tested. You just have to begin now.
So how do you fix bad credit? The methods which had helped others can also help you. If it was over spending which caused the problem, a financial advisor should be sought for long term help. For practicality reasons of course as you may not be able to afford the services of one at this point, a simple look through the mirror can already aid you in reconsidering your lifestyle which includes a cut back on unnecessary expenses as mentioned in the paragraphs above. It takes courage to do so with the psyche involved, but anything in the mind can be won over. Applying for a second job should be considered because it does add up to monthly generated income needed for payments and maintaining funds for current bills. Fixing bad credit is not a theory depicted in movie scripts because it can be as simple as any self-help pages applicable to everyday living.
Understanding how the FICO system works is important in improving credit score after bankruptcy. Being timely in payments improves your score. Yet how can you have a score when all your credit cards are withheld due to bankruptcy? Getting a credit card or any type of minimal loan is still possible. There are still banks and institutions that extend assistance to those who are suffering from issues with finances. When you do get approved for one, be timely in settling payments. Watch your credit transactions closely which can be checked online anytime. Never sign up for automatic payments. Overdraft may occur when funds are not available during automatic payment dates. Payday loans are also not recommended. These were designed not for those with lengthy money trouble. Improving credit score after bankruptcy should involve a keen eagle eye even for little details.
Building credit after bankruptcy also involves vigilance. Dispute irregularities once you see them filed on your transaction history. You can start now yet this method can even be applied to your past statements. Although issues with bankruptcy can eventually be erased with great efforts and does not impede opportunity to borrow again in the future, it does affect health and medical related bills during emergency. Also, despite considerations from good Samaritans due to this economic turbulence everyone is affected with, there are still discriminations due to a bad financial history so to build credit after bankruptcy is necessary.
Short term loans can also help repair your credit after bankruptcy. Try payday loans in San Diego, CA through USA Checks Cashed.