People who are struggling financially are often reluctant to file for bankruptcy, because bankruptcies have a negative stigma. However, that could not be further from the truth. Bankruptcy is a tool that can help individuals, families and businesses regain control of their financial future. Following Chapter 7 or Chapter 13 bankruptcy, there are several ways that people and companies can get their finances back on track. NerdWallet recently featured an article with tips for how to rebuild your credit after bankruptcy.
What Can I Do to Rebuild My Finances After a Bankruptcy?
You should see signs that your finances are improving right away. Creditors want you to be able to make enough to pay your debts and have at least a little leftover. In addition, lenders know you cannot file bankruptcy, because you will not be able to file for bankruptcy again for another eight years. Therefore, it is a good idea to start regaining control of your finances from day one. Here are a few steps you can take to do just that:
- Create a budget.
- Save up money in an emergency fund (at least $250).
- Check your credit reports. If you find any inaccuracies, get them corrected.
- Begin reestablishing your credit. This can include getting a secured credit card, secured loan or a co-signed loan or credit card.
The bankruptcy attorneys at Garland & Mason have a long history of successfully helping individuals, families and businesses in New Jersey regain control of their financial future.