Chicago Bankruptcy Lawyer
If you are considering filing for bankruptcy to get a fresh start, you may be worried about what will happen to your credit rating. The unfortunate fact is that your credit-worthiness will take a hit. For the first year, you will probably find it difficult to get a loan for a major purchase, but there are things you can do to rebuild credit.
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At the Law Offices of Chad M. Hayward P.C., we believe that everyone deserves a second chance from debt. Attorney Chad Hayward offers a free initial consultation to discuss your debt situation and apply your financial information to the bankruptcy means test to determine whether you qualify for Chapter 7 or Chapter 13 bankruptcy. Part of our bankruptcy services includes discussing the impact on your credit rating and helping you rebuild your credit as quickly as possible.
Some simple steps you can take to start rebuilding your credit immediately after your bankruptcy discharge:
- Open a savings account at a local credit union and make regular payments into the account.
- Take out a small loan from the credit union, using your savings account as collateral. Stick to a timely monthly payment plan to repay the loan according to the terms of the contract.
- Use your improved monthly cash flow to repay 'reaffirmed' debt such as a car payment early.
- Make your reaffirmed mortgage payment on time every month. Pay extra out of your improved cash flow to reduce the amount of interest paid over the length of the mortgage.
- If your bankruptcy was the result of peculiar circumstances, such as a catastrophic medical problem, write a letter of explanation to the credit reporting agencies to include with your credit report.
- Take care of all remaining outstanding tax arrears in a timely manner.
- Do not jump at the first loan that comes available. Be smart about the interest payment you are willing to agree to. Having an open high-interest credit card account on your credit report is likely to suggest that you are heading down a path to credit problems, once again.
If you are ready for a fresh start, we are ready to help. Illinois bankruptcy attorney Chad Hayward represents clients in the Chicago metro region and communities throughout Illinois.
Reach us to schedule an appointment at any one of our local community offices by calling 312-546-4689 or toll free 888-804-8641.
Chicago
Aurora
Joliet
Schaumburg
Palos Heights
Northbrook
Oakbrook
St. Charles
Contact us today. We look forward to helping you get the fresh start your family needs and deserves.
