Five Steps to Rebuild Your Credit in Tampa
Attorneys Helping You Rebuild After Bankruptcy
At the Debt Relief Legal Group in Florida, we know that many people who are reluctant about filing for bankruptcy are under the mistaken impression that it takes years to rebuild their credit. In fact, many people find the opposite to be true. Erasing debts through bankruptcy can allow you a clean slate to rebuild your credit much faster than spinning your wheels making minimum payments. While a bankruptcy will remain on a credit report for many years, it is easier now than ever to re-establish your credit after bankruptcy, and our Tampa bankruptcy lawyers can help.
People who experience difficulty obtaining credit after bankruptcy do so because they do not take the necessary steps to re-establish their credit. Your credit score will not improve on its own. You have to take the initiative to re-establish your credit. We have teamed up with one of the largest credit recovery companies in the country, called 720creditscore.com. Working exclusively with 720CreditScore.com we now offer you a step-by-step system designed to take you to the top of the credit score charts!
The First Step Toward Rebuilding Credit: Filing Bankruptcy
It seems ironic that the first step to re-establishing your credit is to file bankruptcy. Sometimes in life, you have to take a step back to take a step forward. Eliminating debt balances is the first step in your path to financial freedom and a great credit score.
Many people worry about the credit consequences of filing for bankruptcy. Although a bankruptcy may be reflected on your credit report from seven to 10 years, this doesn’t mean that you can’t re-establish your credit immediately after your case is completed and obtain one of the best scores of your life.
In fact, many creditors regard you as a better credit risk after you file bankruptcy simply because your debt has now been eliminated, but you still have the same earning potential as before. Additionally, since you will not be able to file another bankruptcy for eight years, lenders may perceive you as a good candidate for future credit. In fact, there is an entire market for lending to post-bankruptcy consumers.
Speak With an Attorney at Debt Relief Legal Group
Consequently, there are many lenders who now specialize in providing credit to people who have just completed their bankruptcy. It is not uncommon for our clients to receive credit applications in the mail immediately upon the completion of their case. While it may be tempting to secure this new credit right away, part of what you will learn through our 720creditscore.com guided program is that rebuilding credit takes purpose and planning.
Obviously, any new credit should be taken out responsibly and managed properly so that you can maintain a healthy financial outlook. We are amazed at how quickly our clients can rebound from their bankruptcy. Many of our clients now enjoy a much more carefree lifestyle with new homes, vehicles and very little other unsecured debt.
Have Questions About Bankruptcy and Your Credit?
Don’t worry, we are here to help. We offer FREE initial consultations with one of our experienced Tampa debt relief lawyers. Not only will you have a chance to sit down with us and ask questions, our fees are extremely reasonable and we have easy payment plans available to help you start the process.
The Second Step Toward Rebuilding Credit: Live Within a Budget – Use Cash for Your Spending Needs
There is a common misconception that people who file bankruptcy have misused their credit or spent carelessly. In our experience, a person’s spending habits have little, if anything, to do with why they filed bankruptcy. Financial hardship can strike at any time, making it difficult to make ends meet.
We understand that working towards rebuilding your credit may sound daunting, but you don’t have to do it alone. The attorneys at the Debt Relief Legal Group will walk you through the process and provide you with budget counseling upon completion of your case.
Like much of the financial management process, rebuilding your credit takes a budget and the discipline to stick to it. When you work through the 720creditscore.com system that we have available to you, you will learn that controlling spending and saving money are essential after bankruptcy. There are many subtle changes you can make to your spending habits to save even just a few dollars a week. Many people can reduce their monthly expenses by simply avoiding impulse buying, paying cash for things and preparing more meals at home. There are also many ways to reduce fixed monthly expenses like insurance and transportation costs.
Spending Wisely and Making Regular Payments
Eight out of 10 bankruptcies today are triggered by unexpected medical bills, illness, unemployment and/or divorce. Most of the people we meet who require our services do not have a problem with spending. They just have experienced a rough patch in their life which sent them into a downward financial spiral.
Notwithstanding the above, bankruptcy provides you with an opportunity to wipe the slate clean and start again financially. In this regard, it is a good opportunity to reassess your financial priorities and outline a budget to maintain a healthy financial lifestyle. You may have to sit with your family and discuss your financial goals. We recognize that this may not be easy considering the social, cultural and emotional pressures upon America’s middle class, but now is the time to reprioritize your finances.
Contact Our Bankruptcy Lawyers
Speak with a Tampa bankruptcy lawyer for free to learn more about Chapter 7 or Chapter 13 bankruptcy in Florida.
The Third Step Toward Rebuilding Credit: Success After Bankruptcy | Savings Plan
Have you heard the old adage that cash is king? Well, it is true! Money in the bank is one of the most empowering and inspiring feelings after emerging from a bankruptcy. Since your debts are gone, you should be able to save a little bit each month as long as you stick to your budget.
Use the money you have been spending to make minimum credit card payments to start a savings account for yourself. It doesn’t have to be much. It’s okay to start small. Write yourself a check every month for half of the amount you were sending to the credit card companies or even one-tenth of that amount. You won’t even miss the money if you start setting it aside now.
Credit recovery requires dedication, and a savings account is just another tool in your financial plan to get you back on your feet and moving towards a high credit score. We walk with you on this path to financial freedom, even to the destination of credit repair. Teaming up with 720creditscore.com has allowed us to gain a better advantage in helping you with your financial goals.
With a little patience and effort, The Debt Relief Legal Group in Tampa can help you start a savings plan that will work for your future. We provide the advice and guidance that you deserve.
Keep More of Your Money With Saving Options
A savings account at a bank isn’t your only option. Check into whether your employer has a 401(k) program or other retirement plans available or start your own IRA. That way you are less likely to spend it. In addition, you may want to explore investing small amounts into mutual funds, CDs or other low-risk investment options.
Contact Our Attorneys to Learn More
Speak with us at the Debt Relief Legal Group to discuss your options for free with an experienced lawyer in Florida.
The Fourth Step Toward Rebuilding Credit: Re-Establish Credit After Bankruptcy | Review Your Credit Report
Did you know that the average consumer has at least one error on their credit report? It’s true! Often, credit reports contain negative entries that don’t belong there or are incorrect. Mistakes on your credit report are a huge roadblock to your credit recovery efforts. Further, many creditors don’t update your information right away. Having outdated information following a debt discharge in bankruptcy can impede your efforts to clean up your credit.
After your bankruptcy is completed we guide you through a nationally accredited credit recovery system, partnered with 720creditscore.com. We will review your credit report, help you identify and dispute any errors. For long term credit success, it is important that you review your credit report regularly.
The Debt Relief Legal Group with offices in Tampa, New Port Richey and St. Petersburg can help you review your credit report, and if there are inaccuracies, we can help you challenge those with the appropriate reporting agency. With the assistance of our Credit Recovery Program, you should be able to restore your credit to a favorable rating in two years or less.
Make Sure You Are Treated Fairly
The information on your credit report is important, since it is used by employers, lenders, credit card companies, apartment managers and others who want to understand potential risks in extending credit and other opportunities. If there are inaccuracies, they can limit your ability to take advantage of those opportunities, including the purchase of a home, car or other large property.
Make sure you are treated fairly by reviewing your credit report and ensuring that the information on it is accurate.
The Fifth Step Toward Rebuilding Credit: Life After Bankruptcy in Florida | Obtaining New Credit
Many people worry that they will never be able to obtain a credit card again after their bankruptcy. Other people are glad to be rid of credit cards and swear that they will never touch a piece of plastic again. No matter how you feel, credit cards provide you a valuable way to rebuild your credit history after bankruptcy. By rebuilding your credit history, you can qualify for the same low interest rates on home mortgages and car loans as other people do.
Our credit recovery program is designed to help you learn the tools necessary to get back into the credit game. Working with 720creditscore.com, we have come up with a guided system to help lead you to the credit score you deserve. To get where you want to go, you need to start at the bottom and work your way up.
You can typically obtain credit if you demonstrate a consistent employment record and signs of financial rehabilitation. Most people find that if, after filing bankruptcy, they promptly make the payments they are left with, such as car payments, house payments, rent or utility payments, they can re-establish their credit soon after filing bankruptcy.
Another opportunity to rebuild your credit is by obtaining a secured credit card. In order to obtain a secured credit card, you are required to deposit a certain amount of money with the bank offering the card. Then you are able to use the card like a regular credit card up to the amount held on deposit by the bank. Secured credit cards offer similar credit benefits as bank loans. In addition, credit unions are an excellent source for car loans after bankruptcy.
Use of Credit in Tampa After Bankruptcy
Finally, it is very likely that you will receive several unsecured credit card solicitations immediately upon the discharge or completion of your bankruptcy. We suggest that you fill out and submit for approval a few of these applications, but use the credit wisely. If you use a credit card during any monthly cycle, then make sure that you are in a position to pay it off in full. Anytime you have a remaining balance which carries into another month, you are headed in the wrong direction and warning lights should go off in your head to once again step back and regain control of your spending.
By using your credit card and paying it off in full on a monthly basis as we suggest, your credit score will start to improve dramatically. You will be surprised how little credit you actually need. If you utilize credit intelligently, you can make the system work to your advantage and start the process for a healthier financial lifestyle.