So I’ve filed for bankruptcy, now what?
I’ve heard from several people who have filed for bankruptcy protection that once they have successfully filed the last thing they want to do is deal with their finances. I recommend that a person places their finances near the top of their priority list once a bankruptcy has been filed.
After all the clean fresh start that many attorneys promise isn’t always as easy for many recent bankruptcy filers.
I recommend to any individual that even after they file for bankruptcy that they still seek budgeting guidance from a credit counseling organization. This is typically a free service that is developed to help people budget their daily finances; this can be of great help once a bankruptcy has been filed by providing valuable insight on how to prevent these problems in the future. If a credit counseling agency charges for this service I recommend that you look again until you find help elsewhere. There are several well qualified agencies that offer no cost counseling.
Good credit will be difficult to come by, period. There is a difference between good credit, which offers lower interest rates, no maintenance fees, etc. versus poor or risky credit that is offered to individuals who have a shaky credit history.
Be careful in deciding who to look for when seeking lines of credit, auto purchases, etc. Read all of the fine print and understand that if you borrow x amount of dollars it will actually cost you x amount in the long run.
Save from the start. Don’t rely on getting a loan, it can prove to be risky and extremely costly as there are several organizations that love the fact that they can justify higher rates based on your poor credit. Talk to an agency about your budget and then start to save for those rainy day emergencies, such as a vehicle repair, vet bills, etc. The more you save the less you will have to rely on a poor loan that will cost you in the end.
If you have any questions, would like to discuss your financial challenges, or are just looking for advice, please call us at your convenience. As always, we are here to help and look forward to hearing from you.