You should only declare bankruptcy if you absolutely have toWritten by Jakob Jelling
Bankruptcy is something that you should try to avoid unless it is absolutely necessary. There are several ways that you can determine whether or not you need to declare bankruptcy. Essentially, this is best choice for you if you do not have a better way to pay off any of your bills, and if you do not think it is possible for you to ever get out of debts that you owe.If this is case, then bankruptcy is a way to avoid paying more than you can afford, and it will allow you to take a fresh start, although you won’t have very much money at all. There are a few things that you’ll be able to keep even though you declare bankruptcy, and these are generally personal belongings that are not worth any real monetary value. If you are wondering which items are exempted where you live, then you should read through bankruptcy rules and regulations regarding your state or country. However, if you can possibly avoid bankruptcy, then you should. One reason for this is that even though bankruptcy can help you start over and get rid of most of your debt, it is still not very good for your credit rating. In fact, declaring bankruptcy can give you a very bad credit rating for years to come.
| | Life after Filing BankruptcyWritten by Sam Argon
Filing for bankruptcy will undeniably have a great impact on your credit but sometimes it becomes only option. It is important to evaluate budgeting and financial mistakes that helped lead you to this direction. While we realize you didn’t get there on purpose you should self examine your spending habits and start working on ways to rebuild your credit. Yes you heard us right; you can still work on rebuilding your credit even AFTER filing a bankruptcy. But, it will take time and perseverance on your part.
Below are some tips to help you reestablish your credit after filing for bankruptcy. 1. Learn to live within your financial means. Spend your money wisely and do not buy luxury items that are not a necessity for living! This is an important lesson to learn and it will be hard to talk yourself out of some of those luxury purchases but you will thank yourself later.
2. Apply for a secured credit card and be sure to repay on time! This will reflect positively on your credit report and help you to start a new and on time paying credit history. Try not to jump right back in and get a card with a high deposit amount, start out small and progress forward.
3. Open a new checking and/or savings account. Lenders will take this into consideration when determining if you are responsible enough to lend money too.
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