What do I do after bankruptcy?
May 24, 2012 1 Comment
After your bankruptcy is over you can certainly begin enjoying your new life with your debts discharged and you don’t really have much that you need to do. Your debts are now in the past and your future should be debt free. There are just a few things that you can attend to:
1) Re-establish credit– You will want to begin re-establishing credit right away after your bankruptcy. There is no need to wait and you can certainly begin immediately. You will want to get new sources of credit. Loans, either secured or unsecured, that will appear on your credit report are a good way to begin to re-build your credit. You can buy a car or furniture or anything that you pay off monthly and if you make your payments on time you will get positive points on your credit score.
You can and should also get 3 new credit cards after your discharge. You should get solicitations from credit card companies right away after your bankruptcy is completed. You can use these new cards to re-establish credit. If you do not get solicitations then visit your credit union or bank where you have a deposit account. They will probably give you credit there.
You can always apply for secured cards too. These are cards where you give the creditor money and the creditor gives you credit based upon how much money you deposited with them. These secured cards will report on you credit report just like regular cards so make your payments on time. Remember also to keep your balances low.
2) Check your credit report- You will want to check your credit report after your discharge to see if all of your debts are properly reported as “discharged in bankruptcy”. Challenge any debt not properly listed. You can get your credit report for free at www.annualcreditreport.com.
3) Stay out of debt- Be sure to be careful to stay out of debt. You do not want to fall back into debt after your bankruptcy is over. This is a good time to develop new habits with credit. Use your cards to improve your score but pay the balances each month. It is a good time to live debt free. Remember too that you cannot file bankruptcy again for 8 years and you don’t want a second bankruptcy unless it is necessary due to some calamity.
4) Move on with your life- You can now move on and get a new job or buy and sell property or travel and do anything you wish after your discharge. You are required to report any large amounts of money you receive after your discharge but only for 6 months. After that you can do anything you want and you are free of the system (as long as there was no fraud involved in your original bankruptcy).
5) Enjoy your new-found freedom Rmember that you are debt free. Enjoy your new life!
I am bankruptcy attorney in San Diego. Please visit my websites at www.farquharlaw.com or www.freshstartsandiego.com for more info. about any of these topics or call me for a free consultation at (619) 702-5015. Call now for free credit report and analysis!
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