Life after Bankruptcy

Can I get a credit card? Will I be accepted for a car or home loan? Can I file for bankruptcy again in the future if my financial problems return?

These are common questions asked by people with financial difficulties. If you’re considering bankruptcy, you might be ruined that it will ruin your credit.

Too often, people think that bankruptcy is a sign of personal failure, or something that is shameful. But actually, bankruptcy is a positive, responsible step toward rebuilding your credit. Though bankruptcy will affect your credit–and it will show up on your credit report for up to ten years–it will not completely eliminate your chances of getting credit. With time and effort, you can rebuild your credit. If you manage your debt and pay your bills on time after bankruptcy, creditors will take note of this.

There Is Life after Bankruptcy

There are positive answers to most of the issues regarding life after consumer bankruptcy:

  • Credit cards: Most of the time, you can still qualify for a credit card after bankruptcy. Because you’ve filed for bankruptcy, your rates may be slightly higher than regular credit card rates.
  • Car loans: Generally, car loans are available for people after Chapter 7 bankruptcy without requiring extra steps. For those who have gone through Chapter 13 bankruptcy, car loans are usually available as well; however, the bankruptcy trustee overseeing your case would need to approve the loan.
  • Home loans: Historically, home loans have been readily available to people after declaring bankruptcy. However, it may be more difficult to get a home loan in today’s economy (just as it is for most people). If you currently own a home and continue making the mortgage payments during a bankruptcy, you are helping to re-establish your good credit. You will be a good candidate for a new mortgage once the bankruptcy has ended.
  • Filing for bankruptcy again: You can re-file for bankruptcy after the appropriate waiting period. The waiting time for re-filing under Chapter 7 is eight years after your previous filing. For Chapter 13, you can re-file two years after the discharge of your previous Chapter 13 or four years after the discharge of a previous Chapter 7.

If you’re dealing with overwhelming debt, bankruptcy can be a fresh start. We understand your concerns, and we’re here to help.

At Horwitz & Horwitz, LLC, we are dedicated to helping people make a positive change in their lives. We want to help you get back on track financially. We’ll explore your options, answer your questions, and guide you through the process. At our firm, we work personally with each client. All of your calls, meetings, and court hearings will be handled by Barbara Horwitz, an experienced and understanding Centerville, OH bankruptcy lawyer, not a paralegal.

Contact us today for a free consultation.

We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.

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