What is the first essential thing to do when your bankruptcy has been finalized?
go back to living the way you were before
plan to start rebuilding your credit
do nothing until the bankruptcy has been
removed from your credit card
hire a good lawyer
The first essential thing to do when your bankruptcy has been finalized is to plan to start rebuilding your credit.
under which process might you not have to pay off all your debts in full?
chapter 7 bankruptcy
both chapter 7 and chapter 13 bankruptcy
chapter 13 bankruptcy
neither chapter 7 nor chapter 13 bankruptcy
Under Chapter 13 bankruptcy, you might not have to pay off all your debts in full.
which process leaves you with no debt when its over?
chapter 7 bankruptcy
both chapter 7 and chapter 13 bankruptcy
chapter 13 bankruptcy
neither chapter 7 nor chapter 13 bankruptcy
Chapter 7 bankruptcy leaves you with no debt when it's over.
which of the following will increase your credit score?
you have many missed or late payments on your credit card or loans
you recently applied for several credit cards
you have a major credit card, a store credit card, and a gasoline credit card, as well as a student loan and an auto loan.
your credit record goes back years, but all your current loans and/or accounts were opened recently
Having a major credit card, a store credit card, a gasoline credit card, a student loan, and an auto loan can increase your credit score.
which of the following will likely lower your credit score?
you recently declared bankruptcy
all your low balances on ur credit cards
all of ur accounts data back five years or more
you are three months away from paying off ur 5 year loan
Recently declaring bankruptcy will likely lower your credit score.
The first essential thing to do when your bankruptcy has been finalized is to plan to start rebuilding your credit. Bankruptcy can have a significant impact on your credit score, making it crucial to take proactive steps to rebuild your financial standing. Here's how you can approach this:
1. Obtain your credit reports: Start by obtaining your credit reports from the major credit bureaus - Equifax, Experian, and TransUnion. You can get a free copy of each report annually at AnnualCreditReport.com.
2. Review your reports: Carefully review your credit reports to ensure that the bankruptcy has been properly updated and that all other information is accurate. If you notice any errors or discrepancies, report them to the credit bureaus for correction.
3. Create a budget: Evaluate your financial situation and create a realistic budget to ensure your expenses are in line with your income. This will help you regain control of your finances and avoid future debt issues.
4. Establish an emergency fund: Start setting aside money regularly to build an emergency fund, which can help you avoid relying on credit for unexpected expenses.
5. Open a secured credit card: Consider applying for a secured credit card, which requires a cash collateral deposit as collateral. Make small, regular purchases, and consistently pay off the balance in full each month. This responsible credit usage will begin to rebuild your credit history.
6. Explore credit rebuilding options: Research other credit rebuilding options, such as credit builder loans or becoming an authorized user on someone else's credit card, to further boost your creditworthiness.
7. Track your credit score: Monitor your credit score regularly using free credit monitoring services or credit score tracking apps. This will help you keep an eye on your progress and identify any key areas for improvement.
Remember that rebuilding credit takes time and effort. It's essential to be patient and maintain responsible financial behavior to gradually rebuild your creditworthiness after bankruptcy.