AFTER BANKRUPTCY...

Although some borrowers can be eligible for a mortgage in as little as a year following

a bankruptcy, waiting a little longer might be a smarter move.

Filing for bankruptcy impacts your credit score considerably. Certain limitations may apply

to loan products for borrowers with previous credit challenges and may include a higher

interest rate and/or higher fees.

So, focusing on rebuilding your credit first may mean you’ll be eligible for a lower interest

rate.

The Only Way is Up!

A solid track record of on-time payments and responsible credit use can help you get

your credit score back in shape. But it won’t happen overnight.

Use this time to your advantage, start saving money for a down payment!

Set aside even a small portion of your income into a savings account. You’ll be surprised at

how quickly it adds up!

Pay ALL Your Bills on Time!

When you think of bills, credit cards, auto loans and mortgage payments typically come to

mind.

However, other payments can affect your credit score as well. Rent payments, utilities,

medical bills, traffic tickets, even paying your gym membership dues late can affect your

credit score!

Delinquent payments to any creditor can be reported to the credit bureaus, and

Subsequently referred to collection agencies.

Even if you pay the collection off, the fact that you allowed a debt to be unpaid until it

reached collections remain on your record.

At the very least, make the minimum payment(s) by the due date, or contact your

creditor to discuss a feasible payment plan if applicable.

Watch out for Credit Repair Scams!

You’ll likely start receiving offers to “Repair your credit” by removing negative information

from your credit report, for a fee.

There is no quick fix to repair a bad credit score, and there’s nothing that can be

done to improve your score that you can’t do yourself!

Getting your finances back on track and improving your credit score will require hard

work and dedication.

Be patient. There’s no way around it, only through it. And it will be worth it!