There are many myths surrounding life after bankruptcy. The fact is, you can rebuild your credit and your life after bankruptcy. Our Kenosha bankruptcy attorney separates fact from fiction in this post.
Kenosha Bankruptcy Attorney Says: Overcome the Guilt
Many people feel guilty or ashamed of filing bankruptcy. You may feel as if you have failed. The fact remains, a recessed economy and poor employment rate have led to more recent bankruptcy filings. You are not a failure and you are not alone. Most bankruptcies happen due to unforeseen and uncontrollable circumstances, such as divorce, illness, job loss, etc. Filing a Kenosha bankruptcy does not make you a bad person. You are a good person stuck in a bad situation. Our Kenosha bankruptcy attorney is here to help you put the past behind and start a second chance.
If you are having a difficult time overcoming the social stigma of filing a Kenosha bankruptcy, consider joining a support group. Many people feel like they have lost their self-worth and some even fall into a depressed state. Once you learn there are so many others just like you, stuck in uncontrollable situations, you can utilize the emotional support to help you move on with your life. Remember, bankruptcy was created to give you the fresh start you deserve.
Kenosha Bankruptcy Attorney Says: Rebuild Your Credit Responsibly
There is a tall tale you will hear about how a person who files bankruptcy can no longer get a credit card or a loan. This is absolutely not true at all. The fact is that a person who files bankruptcy can get a credit card immediately, with a catch. A suitable credit card with a reasonable interest rate may take you a couple years to obtain. However, some companies are known to actively seek out those who have recently filed bankruptcy in an effort to offer them credit, usually with a high interest rate or yearly fee.
A good way to rebuild credit is by continuing to pay your mortgage or car payments on time. Another good way to rebuild credit is to obtain a credit card and only use it for groceries. Pay for your groceries with your credit card and make the payment with your budgeted grocery amount, always. Yet another way to rebuild your credit is to pay your utility bills in full and on time. Believe it or not, many report to the credit bureaus. These are just a few ways you can quickly rebuild your credit and get back on track.
Kenosha Bankruptcy Attorney Says: Purchase a Home After Bankruptcy? Yes, you can.
If you have been told that you can never purchase a home after bankruptcy, then you have been told a work of fiction. The fact is that many banks will lend after bankruptcy, some even within the first year. Again, you will most likely be paying a higher interest rate and making a larger down payment. However, if you save for a down payment, obtaining a mortgage should not be problem. The more you save, the better. Try to save 10-20% of the purchase price.
Consider the loan short-term. Once you have been making on-time payments faithfully for a few years, ask the bank to refinance into a better interest rate loan. Most banks will not have a problem taking care of this for you. Do not get down about the obstacles. Consider them small steps toward the main goal. Prove yourself worthy and you will get your desired loan.
Kenosha Bankruptcy Attorney Says: Look on the Bright Side of Bankruptcy
It is a fact that a Kenosha bankruptcy will hinder your credit score. The bankruptcy filing will also remain on your credit file for several years. A Kenosha bankruptcy may cause you to temporarily succumb to higher loan interest rates. But, that’s not the bright side of bankruptcy.
The bright side of bankruptcy is, well, you will be debt-free. Say it in your head, again. “Debt-free”. You won’t be afraid to answer your phone. You won’t have creditors calling you day in and day out. Your mailbox will not be littered with overdue bills. The stress will be gone. You will be “debt-free”.
Kenosha Bankruptcy Attorney Says: Stay on Track
While it is a fact that you could go into debt again, such as from an unforeseen illness or injury, there are many steps you can take to stay on a debt-free track.
1. Live within your means.
2. Pay your bills on time.
3. Rebuild your credit responsibly.
4. Use your support group to help you stay debt-free.
5. Create a realistic budget and stick to it.
6. Remember what you have learned and what led you to bankruptcy in the first place.
Life may throw you some curve balls, but you will have a plan and you will be prepared if you follow your plan.
Seek the Advice of a Kenosha Bankruptcy Attorney
If you are seeking a Kenosha bankruptcy solution to an overwhelming debt problem, please contact our Kenosha bankruptcy attorney. Our Kenosha bankruptcy attorney can provide you with sensible options to your financial dilemma during a free, initial consultation. Call our Kenosha bankruptcy attorney at 262-725-0175 or contact us via our website’s contact page.
*The content and material on this web page is for informational purposes only and does not constitute legal advice.
Photo by Flickr Creative Commons Jannes Pockele