Life after bankruptcy can be both exhilarating and terrifying. With the help of your Chapter 7 bankruptcy attorney in San Antonio, you are in the midst of a fresh start in the wake of your debt relief. Even if you filed for Chapter 13 bankruptcy with an attorney in San Antonio, you can see light at the end of the tunnel when you complete your payment plan for lower monthly payments at the end of 3 to 5 years.
You San Antonio bankruptcy attorney will assure you that it is a myth that it will be impossible for you to buy a home or a car as you rebuild your credit. This is true, but as you start your new life, it is crucial to make a plan and change your lifestyle in order to avoid falling into the old routines that brought on bankruptcy.
Chapter 7 or Chapter 13 bankruptcy will remain on your credit report for 10 years. During that time, you must demonstrate that you have learned from your mistakes and are working to rebuild a better lifestyle. Even while your bankruptcy is on your credit report, there are many steps that you can take to reestablish your good credit.
How To Regain Good Credit Scores
The first step that you must take is to develop a reasonable budget and then stick to it. Your bankruptcy lawyer will be able to assist you in finding wise counsel in regards to your budget. Cut out any unnecessary expenses and avoid making large purchases. It is essential to develop a barebones lifestyle for the time being so that your resources can go towards improving your credit. In addition, reducing expenses allows you to build up your savings in order to avoid future catastrophe.
Be smart about opening new credit accounts. You may find the process of obtaining credit cards challenging and expensive in the aftermath of your bankruptcy case. No matter what, make your credit card payments on time. You might find it easier to live on cash in order to more closely monitor your budget.
Most importantly, make all payments on time, whether they are for your credit card, your mortgage, or your electrical expenses. Focus on diverting money towards savings and consider utilizing a secured credit card. Finally, maintain a positive attitude – however challenging the current circumstances may seem, they are massively improved from where you were before you filed for bankruptcy.