The Importance of Rebuilding Your Credit After Filing for Bankruptcy
Filing for bankruptcy relief can be an important part of recovering from a financial crisis. It is true that after filing bankruptcy, your credit score will drop. It is also essential to rebuild your credit after filing bankruptcy. Contrary to popular belief, rebuilding your credit score after filing bankruptcy is not impossible, and it doesn’t have to take a long time if you use the right tools.
The following table shows how much your credit score affects how much you will pay for a $15,000.00 car based upon information from MyFico.com:
| Credit Score | 720 | 659 | 500 – 550 |
| Interest Rate | 3% | 10.4% | 20% – 25% |
| Monthly Payment | $270 | $370 | $570 |
| Yearly Higher Cost | $0 | $1200 | $3600 |
As you can see from the above chart, credit score has a significant impact on how much you pay for necessary financing, and the effects of ignoring this reality can cost you real money for a long time to come.
How to Rebuild Your Credit Score
Based on the above table, the importance of rebuilding your credit can’t be overstated. There are really only two ways to rehabilitate your credit score: you can guess what it will take to raise your credit score, or you can find and use a proven, systematic strategy to increase it quickly. The first method could include internet research where you stumble upon a good piece of information you hope will work for you or asking friends and relatives what they have done. Friends and relatives can be a good source of information in a lot of areas of life. How to rebuild your credit after bankruptcy is usually not one of those areas. A low credit score means you pay more for the things you want or need. But if you follow a well laid out program, you will be on your way to a higher credit score and a better life sooner rather than later.
How We Help You Rebuild
At Martin & Hedervare PLLC, we know that our most successful clients are the ones who not only get a discharge from the court of their current debts, but they also use the most accurate and effective information available to rebuild their credit scores after filing. We searched for a program that was informative, well-organized and easy to follow. We found what we were looking for in a program called 7 Steps to a 720 Credit Score. We discovered that a score of 720 or higher is the dividing line a lot of creditors use to decide which applicant gets the best interest rate offer from them. After testing the program, we learned that people who have been through 720CreditScore.com’s credit program (7 Steps to a 720 Credit Score) transform their credit scores, usually within 24 months of declaring bankruptcy. With these kinds of results, we decided to make this program available to every single one of our bankruptcy clients. This program tells you exactly what to do, when to do it, how to do it, and why you should do it.
The credit education program usually costs $1,000 for enrollment. However, we enroll every one of our bankruptcy clients into the program for FREE! There is no additional cost to our clients, but the knowledge they gain from it is invaluable. We also offer the program to non-clients who want the valuable knowledge they can gain for $250.00.
To gain access to this amazing credit building program, call Martin & Hedervare, PLLC today to schedule an appointment. Call 651-383-4725.