Life After Bankruptcy in Fort Lauderdale
Learn What to Expect from a Fort Lauderdale Bankruptcy Lawyer
Many people often are weary to file
bankruptcy or refuse to do so outright because they are afraid of what will happen
after they do. The truth is there is a lot of misinformation or closely-held
beliefs regarding bankruptcy that are just not true at all. Life in the
immediate term after filing bankruptcy will continue to be difficult,
and the road to financial recovery is not one that you can easily complete
in a few days or even months, but by sticking to your carefully-developed
plan, you could emerge from the ordeal in better financial condition than
you’ve ever been in.
Before filing for bankruptcy, it’s important you discuss your plan
for life after consulting with a Fort Lauderdale bankruptcy attorney.
Loan Lawyers have provided reputable counsel and high-quality advocacy
for more than 5,000 consumers across our
more than 100 years of combined experience.
We are dedicated allies to our clients, and we strive to help each and
every one obtain the financial freedom they are seeking. We firmly believe
everyone deserves a second chance, and we treat everyone with the utmost
professionalism and tact that they expect from a reputable law firm.
Want to know more about what will happen after declaring bankruptcy?
Call Loan Lawyers at 1 (844) FIGHT 13 (344-4813) and speak with a member of our staff today,
starting with a free case evaluation.
What Will Happen After You File
Many people think they won’t be able to obtain credit cards or a
loan for the next 10 years or more.
This is completely false. In fact, many financial institutions offer low-limit secured credit lines
which allow those who have declared bankruptcy to begin rebuilding their
credit score almost right away. You may see higher interest rates initially,
and for the first few years it may be difficult to obtain any major loans
or lines of credit due to a significantly reduced credit score, but that
doesn’t mean you can’t immediately begin rebuilding and start
pushing aside old negatives on your credit report with an abundance of
However, while there are trustworthy and reputable institutions, there
are also a number of unscrupulous companies who try to prey on those who
have just declared bankruptcy in order to keep them in debt. These companies
will often offer “too-good-to-be-true” deals of low interest
rates and higher limits. However, the fine print often includes things
like activation and monthly fees, which are added to the principal balance,
quickly putting you right back where you started.
What You Should Do
The road to financial recovery is one that you must follow and be diligent
about, but those who manage to stick to their plan often develop better
money habits and could emerge with a better financial standing than they
ever had before.
Here are some things you should make sure you always do after declaring
Make your monthly payments on time. Missing even a single payment can result in tremendous penalties and further
damage your credit rating, making the recovery process longer and more
difficult. When your credit score is already low, you don’t want
to erase months or even years of hard work with a simple mistake. Be sure
you set aside money to make each payment well in advance and make sure
they’re all done on time every month.
Don’t fall into debt. Only spend money you have. Period. If you plan on making a purchase with
your credit card, only do so if you have the money to pay it off afterward.
This will help you keep your balances low and manageable, which will only
help you improve your score. If you don’t have the money to pay
for it now, don’t make the purchase unless you absolutely
must (such as to pay a utility or other necessary expense).
Don’t be afraid to use your credit card. Having a credit card open is one thing, but a credit card that lies dormant
with no payment history doesn’t help you all that much, and may
actually look rather poor on your overall history. Instead, you should
use your credit card to pay for things, but make sure you do so sparingly
and always pay everything off as soon as possible.
Choose new credit lines carefully. As stated previously, a number of predatory creditors will look to immediately
entrap you in debt once again once you sign up. Always be sure to do a
careful review of the terms of each new credit line you are considering,
and try to keep the number of lines you have to a minimum in the first
few years following a bankruptcy declaration. After two or three years,
consider obtaining another (such as a car loan) in order to rebuild. After
a while, a few open credit lines with a clean history can dramatically
outweigh a past bankruptcy declaration.
For more financial and credit rebuilding advice, speak with a member of
Contact Loan Lawyers now and get the help you need with bankruptcy and debt issues.