In the last few weeks, we've written a few posts about what happens during the bankruptcy process and how you need to react to each step. We talked about the timeline of bankruptcy, and we also touched on the many myths that exist in relation to bankruptcy. Today, we want to talk about the not-so-little matter of life after bankruptcy. What should you do? How do you recover from this major moment in your life?
The bankruptcy process will give you some immediate advantages once it is complete. First, many of your debts will be discharged. That's one financial and personal stressor that you no longer have to worry about. You also won't have to worry about your creditors harassing you on a routine basis, which can relieve a lot of anxiety you have when opening your mail or answering the phone.
Possibly the biggest impact bankruptcy will have on you, though, is your credit score. After a bankruptcy, your credit score will need to be carefully monitored so that you can improve it. How do you do this? Well, here are a few simple steps to take:
- Always pay your bills on time
- Only use credit cards when necessary, and keep the balance low
- Don't overextend yourself, financially (i.e. don't get new lines of credit)
- Watch your credit report and dispute anything that seems suspicious
If you give it time and work at your credit score, you can rebuild your life and your credit in a timely manner. If you need help, please consult with us at McBride Law Firm.