January 16th, 2012 by Reed Allmand 
After declaring Chapter 7 or Chapter 13 bankruptcy, you might feel tempted to shun your financials for a little while. After all, you’ve probably spent months staring at financial statements and bills with your bankruptcy lawyer – and the last thing you want to do is look at more!
However, if you want to engage in credit repair after bankruptcy, there are certain steps you must take immediately after having your debts discharged. Bankruptcy gives you the freedom you need to take charge of your financial life – and these credit repair steps will help you take advantage of every moment of freedom.
- As soon as your debts are discharged, order a copy of your credit report. Under new government regulations, you’re entitled to a free credit report every year, so if you haven’t yet, take advantage of this law. Go through your credit report and try to determine if any mistakes have been made during the reports. You might feel like this is a futile move – especially given your low credit score – but in a few years’ time, you’ll be glad you took the time to remove the mistakes.
- Pay attention in the credit counseling course, as this is a required part of having your debts discharged by the bankruptcy courts. These classes are a crucial part of learning the new financial behaviors you’ll need to ensure that you stay out of bankruptcy courts for good – so be sure to listen and take notes.
- Your first instinct after filing for bankruptcy might be to shun all forms of credit cards and loans. However, you need to prove your new financial behavior more than ever – and only loans and credit cards can help you do this. To reinforce your new behavior, take out a secured credit card. You can only spend the amount of money you deposit on it, and credit reporting agencies regard it as identical to an unsecured credit card. You may have trouble getting a personal loan or mortgage with a great interest rate for a couple of years, so put on the brakes and build up your financial history before applying for a large loan.
Credit repair after bankruptcy doesn’t have to feel like an uphill battle – in fact, with these tips by your side, you’ll quickly realize that even the smallest steps can skyrocket your credit score and get you on the fast-track towards financial freedom.
About Reed Allmand
Allmand's vision is rooted in his own financially precarious childhood in Abilene "My father always had difficulty holding a job and supporting our family, so after my parents divorced when I was 12, my sister and I got jobs to help make ends meet," he recalls. "I remember what it felt like as a child to worry that our car would be repossessed or home foreclosed on."
View all posts by Reed AllmandSubscribe
Subscribe to our e-mail newsletter to receive updates.
