Rebuild Your Credit in 2016
If you are like many people, 2015 was a year of over spending, acquiring too much debt, and filing for bankruptcy. While last year may have been a year you would like to forget, 2016 can be the year that you get your spending on track and that you rebuild your credit.
Many people wonder how they go about rebuilding their credit after bankruptcy is complete. Jamie L. Gingold, PC, GingoldBankruptcyLaw.com (Formerly practicing with Gingold & Gingold LLC) wants to give you hope knowing that there is life and good credit after bankruptcy. In fact, filing for bankruptcy may be the fastest way for many people to rebuild their credit.
The first thing that anyone who is looking to rebuild credit after bankruptcy must do is to stay current on monthly bills. This simply means that you must pay your bills in full, on time. Repeatedly doing this will show creditors that you have gotten your act together and that you are now proving that you are responsible enough to handle credit.
Next, you should apply for a secured credit card. A secured credit card requires money to be deposited into an account to be used as collateral.
You can also accept a pre-approved credit card offer. You may be surprised to receive offers for credit cards following bankruptcy, but credit card companies know that a second bankruptcy cannot be declared for eight years and one day after a bankruptcy, so they are assured of payment. However, if you do accept a credit card offer – do so cautiously. It is imperative that you make your payments on time and pay off the balance each month.
Finally, buy a new car if possible. This is one of the best ways to rebuild your credit. It is important to purchase from a dealer with a good reputation that advertises giving credit to “anyone.” While you may have a higher interest rate at first, your loan can always be refinanced as your credit score increases.
At Jamie L. Gingold, PC, GingoldBankruptcyLaw.com (Formerly practicing with Gingold & Gingold LLC), we want 2016 to be a successful year for you. If you filed for bankruptcy in 2015, do not let that make you feel discouraged or defeated. There is life after bankruptcy! With discipline, you can rebuild your credit successfully for your entire future.