Understand Life After Filing for Bankruptcy
One of the reasons that many people avoid the bankruptcy process, even in cases where it could be beneficial, is the fear of what will happen after the process is over. Some people worry about how a bankruptcy will affect their credit reports and their ability to obtain car loans, home mortgages, credit cards and other lines of credit. They also worry about how they will be viewed by employers, neighbors and others due to their perceived stigma over bankruptcy.
Unfortunately, too much false and conflicting information about bankruptcy has persuaded some people to avoid the process and miss out on the debt relief it can provide. At the Law Office of Daniel R. Whitmore, in Seattle, Washington, we can provide honest answers about life after bankruptcy, including the process of rebuilding credit. Of course, bankruptcy is not the right solution for everyone and we will advise you of better alternatives for your situation.
What to Expect After Bankruptcy
Depending on the individual circumstances of your bankruptcy filing, and whether you have filed a Chapter 7 or Chapter 13 bankruptcy in the state of Washington, the effect on your life after bankruptcy will widely vary.
Assuming the process was completed successfully, you will not have to worry about creditor harassment, foreclosure proceedings or other collection activities, provided that you remain free of debt in the future. If you filed a Chapter 13 bankruptcy, you will begin paying back your creditors according to the repayment plan established as part of your agreement.
Although a bankruptcy will remain on your credit report for up to 10 years after filing, the damage will not be as extensive as many people believe. For one, your report is now erased of all late payments, loan defaults and other negative issues that you struggled with before filing. You are also unable to file for bankruptcy again for a lengthy period of time, letting potential creditors know that you cannot discharge their debts in the foreseeable future.
While it certainly varies, many people begin rebuilding their credit shortly after bankruptcy and are able to obtain lines of credit, including car loans and mortgages, within a couple years.
Talk With a Lawyer About How Bankruptcy Will Impact You
The only way to truly understand how filing for bankruptcy will impact you and your life is to talk with an attorney about your situation. At the Law Office of Daniel R. Whitmore, we will examine your unique situation and let you know what you can expect and what choices you need to make in the future. Contact us for a free initial consultation by calling 866-467-5841 and make an appointment.
We are a debt relief agency. We help people file for bankruptcy relief under the Bankruptcy Code.
