Carrying a lot of debt will make it more likely that lenders will look at you as being a bad credit risk. This typically results in a low credit score. Bankruptcy may be a step toward correcting this problem.
Most often we see the credit scores for our clients rise substantially after the bankruptcy is completed. The credit report we obtain for all of our clients that are filing for bankruptcy, estimates what their credit score will be a year after the bankruptcy is completed. We’ve seen credit scores often climb as much as a hundred points or more after the successful completion of the bankruptcy. Discharging their debts through bankruptcy has been a stepping stone for securing home loans from reputable mortgage companies for some of our clients.
Bankruptcy may be the most responsible step for you to take toward your financial recovery. Nobody wants to file bankruptcy. However, filing bankruptcy may be the most responsible financial step to take for yourself and your family. There is nothing shameful in filing for bankruptcy. Throughout the bankruptcy process, there is nobody trying to humiliate you. Bankruptcy is allowed by law because it’s better for individuals, families, and our society to allow for people to reset and secure a financial fresh start.