Helping Restore Your Credit After Bankruptcy

Credit scores are very important to a healthy financial life. Your score can greatly affect your ability to purchase a house or a car, and the interest rates on your credit cards are heavily influenced by your credit score. Many people are concerned that bankruptcy will do irreparable damage to their credit score.

At Ambrogio, Pletter & Associates, LLC , in Stratford, Connecticut, we help clients get started rebuilding their financial lives through bankruptcy. Our credit restoration lawyers work closely with each client. We base our services on each client’s individual needs because no two people and no two bankruptcies are the same.

If you are filing bankruptcy, your credit score has most likely already been harmed by excess debt, late payments, nonpayments and perhaps foreclosure. While the initial filing will have a negative impact on your credit, bankruptcy is designed to help improve your credit score in the long term.

If you have questions about your credit score in bankruptcy, please arrange a free consultation with our experienced attorneys. Call 475-365-0898 or contact us online.

Understanding Your Credit Score

When you visit our office, we will sit down with you and explain everything that goes into a credit score and what you can do to successfully build your score. In general, five factors determine your score:

• Payment history
• Amount of outstanding debt
• Length of credit history
• Recent credit inquiries
• Types of credit you use (mortgage debt is “better” than store credit card debt, for example)

How Bankruptcy Can Help Restore Credit

• Chapter 7 bankruptcy: If you cannot pay back debts, even at 0 percent interest rates, you may qualify for Chapter 7 bankruptcy, which will eliminate your debt and give you a “fresh start.” A Chapter 7 filing will erase a poor payment history and give you a blank slate on which to start rebuilding your credit. After bankruptcy, you will improve your score by making wise financial choices and paying your bills on time. Though a Chapter 7 filing appears on your credit report for 10 years, your credit is not impacted for that entire time. Many individuals are able to get a mortgage within two years of the filing.
• Chapter 13 bankruptcy: If you have the ability to pay your debts, but high interest rates or a change in income prevent you from fully meeting your obligations, Chapter 13 bankruptcy can help you regain control of your budget. Chapter 13 will put you on a payment program for three to five years, and if you make your payments on time, you will see your credit score improve. Chapter 13 has the added advantage of allowing you to keep your house, which has a positive impact on your credit score.

The choice of which type of bankruptcy to file is sometimes difficult. When you visit us, our attorneys will sit down with you, evaluate your situation and help you make the right decision. We can provide information on how to get started with credit-debt counseling or the bankruptcy process.

Contact An Experienced Bankruptcy Attorney Serving Stratford And Bridgeport

We can help you find the light at the end of the tunnel, help you take control of your finances and get a fresh start. To arrange your free consultation, call 475-365-0898 or contact our law firm online.