Picking up the pieces after bankruptcy means rebuilding your credit. It requires time and patience but it’s doable. In some of our previous posts, we’ve given some tips on how to rebuild your credit. Maintaining a free credit report is a great way to rebuild your credit with confidence.
There is life after personal bankruptcy and managing your credit can help you take control of your financial future. Here are some tips.
Did you know that you are allowed to obtain not one, but three, free credit reports every single year? You are! These can be applied for all at once. Credit reporting companies have rating scales that differ a bit from each other, so having three sources of information can be a very good thing to have. You can even opt to obtain them throughout the year.
The three reports come from Equifax, Experian, and TransUnion. When you apply for your report you will be required to provide your name, address, and date of birth. In making sure you are the person requesting information about yourself, you will be asked some questions that only you would know. If you have lived in another location within the past two years, you may be required to provide that address as well.
This information about you in your credit report helps lenders decide whether to extend you credit or approve a loan you applied for. Your information even determines the interest rate you will be charged. Poor credit costs. You are charged higher rates as you prove yourself over time and improve your credit status. Your information includes your bill payment history, any loans, your current amount of debt, and any other financial information. It also includes your home and work address, whether you’ve ever been sued, arrested, or filed for bankruptcy.
It is always a good idea to know what is in your credit report. It is important to check that your personal information is correct and that your financial accounts are being reported on accurately as well. You certainly don’t want any fraudulent accounts in your name and you want to guard against identity theft.
Should you discover your credit report has incorrect information about you, there are steps you can take to resolve this. The first thing to do is inform your credit reporting company in detailed writing what you dispute regarding your report. Include copies of any documents that will support your case. Never send originals! When you’re ready to mail it, make yourself a copy first, then send it through certified mail with return receipt requested. Your concerns will be investigated within thirty days.
Once your name has been cleared, you should receive the changes in writing along with a corrected report. It is your right to ask for notices of any corrections made as well as a new copy of your corrected report to be sent to anyone that had received information about you in the last six months. This will not count as your annual free report. If your information was not cleared, you can always ask that a letter regarding you dispute accompany any reports sent out. If you were in the wrong about your facts, then only time can change it and that depends on state laws. If you ever feel you’ve been treated unfairly, contact: Consumer Financial Protection Bureau, CFPB.
Living in financial debt takes its toll on many aspects of your life. On top of the physical and emotional stress, having bad credit and creditors harassing you for their money adds volumes to your stress. If you are not aware of your credit report, its wise to seek one. This way you will know where you stand financially and start exploring your options. Personal bankruptcy may be one of those options.
If you are struggling to make ends meet and are overwhelmed with debt, advice from an experienced bankruptcy attorney can help. The bankruptcy lawyers at Hines Law Offices take pride in the representation of individuals in Chapter 7 and Chapter 13 bankruptcy cases. We offer a FREE initial consultation so that we can better understand your circumstances and develop a solid plan of action. Our attorneys welcome the possibility to start working to immediately stop collection calls from home foreclosures and debt collectors.
Call today and get started on your debt relief!