Repairing Your Credit After Filing for Bankruptcy
Bankruptcy can actually help to improve your credit rating. However, filing for bankruptcy is only the first step in the process. It is imperative that you follow up by taking steps to improve your credit. There are several things you can do to boost your score:
- Obtain a credit card with a low interest rate and make small purchases with it. Make sure to pay the balance each month to avoid further financial troubles.
- If you are unable to obtain a credit card, work with your bank to obtain a secured credit card.
- Consider obtaining credit cards from department stores or gas companies. Here again, it is critical to pay off the balance on a monthly basis.
- View bankruptcy as an opportunity to learn fiscal responsibility, not as a fresh start at frivolous expenditures. Good budgeting is very important and you should eliminate unnecessary expenses.