Getting credit back after bankruptcy
I recently claimed bankruptcy and I am now discharged, can you tell me what the best way is to begin a new life with credit is and also how do creditors look at someone who has previously claimed bankruptcy? Thank you.
Once you are discharged from bankruptcy you can begin to rebuild your credit, perhaps by getting a secured Visa card. You give Visa a $1,000 security deposit, and you get a Visa card with a $1,000 limit; this access to credit begins to re-establish your credit, and increase your chances of qualifying for additional credit, such as a mortgage.
The key to regaining your credit is proving to the lender that you are responsible with money. Saving money is the best way to do that, and it gives you money to use for a down payment on a car or a house in the future.
A first bankruptcy remains on your credit report for six or seven years, but by saving money you can rebuild your credit in a shorter period of time.