After chapter 7 bankruptcy

Many of you wonder what will happen to their life after they fill for chapter 7 Bankruptcy. For sure there will be some changes in your life, and you will have to consider several new factors in day to day decisions but these changes are not something you should be scared.

First of all you have to remember that in Chapter 7 some debts will not be discharged. Priority taxes, student loans or lines are among the debts that will not be discharged.

Chapter 7 and Chapter 13 Bankruptcy will remain on your credit reports for 10 years but these day you can reestablish your credit much easier than in the previous years.

You should be able to purchase a car on financing immediate after you get the bankruptcy discharge. Don’t expect to benefit from the same conditions like a person who has a good credit report. The interest will be higher with one to three points but you will get your loan and car.

In two years after the discharge you should be able to finance a home if you have a minimum down payment and if you prove you can pay the
mortgage.

You will receive a few offers for credit cards after the discharge. Accept them but pay on time and always carry over a small balance. This establishes your debt payment history and increases your credit score.

If you see some errors on your credit reports you should go directly to the credit bureau and solve these immediately. If you situation is not solved you should have a recourse under the Fair Credit Reporting Act.

Also is very important to know that you cannot be discriminate by any employer or person because you filled for bankruptcy.