The Homework Blog

Help Getting Credit After a Bankruptcy Filing Even Though Your Debt Free

February 26, 2010 6:07 pm admin Business

There are some sources of loans after a bankruptcy filing although your choices will be rather limited. Right after you receive your discharge, you can procure one or more secured credit cards from a number of credit card issuers. After you deposit an agreed-upon sum, usually $300 -$400, you will receive a major credit card, Visa or MasterCard, with the credit card limit equal to or slightly higher than your deposit. As you make your scheduled payments in the coming months, your credit limit will normally be increased at regular intervals. After a bankruptcy filing many creditors know that you are debt free, but because of the bankruptcy discharge you will need to show them your ability to pay.

 

After filing bankruptcy you need to  prepare your budget, you should have your checkbook handy or bank statement so you can see exactly where you’re spending your money. Write down each expense on a sheet of paper. Look back through your checkbook or other papers to make sure that you catch all of the non-reoccurring expenses like tires for your car, oil changes, property taxes. You want to set aside enough money each month so that you have enough money when those things are needed. You should also be aware of small expenditures such as convenience stores, lunch money and the like. After you write down all of your expenses, you start deducting your expenses from the money that you have available each month. If it looks like they will not have enough money to pay your expenses, then you will have to figure out some cuts so that you are not running a deficit or figure some way to increase your net income. Remember that you had some goals in mind when you first decide if the file bankruptcy. Perhaps you wanted to save your home from foreclosure or keep your car from the repo man. If you follow these basic common sense rules, you should have no problem benefiting from your bankruptcy and getting your life back on track, but debt free.