While a chapter 7 discharge letter might mean your debts are cleared, it's bad news for your credit. Chapter 7 bankruptcy tanks your credit score & stays on for up to 10 years. Luckily, you can start rebuilding your credit. The easiest way is working with a reputable credit repair company like Credit Glory.
What happens when you get a Ch 7 discharge letter?
Filing for chapter 7 bankruptcy is a long legal process. Once it's done, and a ruling has been made, you should get a discharge letter (often 60 days after a creditors meeting). A discharge letter clears any debts you owe & prevents creditors from trying to collect on them. While you might see this as a fresh financial start, it can be bad news for your credit score.
How does Ch 7 bankruptcy hurt your credit?
While a chapter 7 bankruptcy clears your debts, it does serious damage to your credit report. Not only does it stay on your credit report for up to 10 years — it can drop it by up to 200 points! Poor credit leaves you with limited options on loans & new lines of credit. The ones you do qualify for often come with high (& expensive) interest rates. Luckily, you can start rebuilding your credit after a bankruptcy.
Ways to rebuild your credit after bankruptcy (& boost your score)
While bankruptcy can discharge debts, it seriously hurts your credit score. Luckily there are ways to minimize the impact of bankruptcy and start repairing your credit.
- Monitor your credit - Keeping an eye on your credit is an essential step in rebuilding it. It helps you track any progress you make as well as helps you quickly identify any errors and inaccuracies.
- Verify information - According to the FTC, 20% of the population has at least one error on their credit report. Inaccurate negative marks hurt your score. That's why it's vital to verify info on your report.
- Check your credit report for errors - Before you can dispute an error, you have to find it first. You can find common errors in personal info, account status, and balance & data mistakes.
- Dispute inaccuracies - Once you have found errors, you can dispute them. This means gathering evidence, writing a dispute letter to all 3 credit bureaus, & waiting.
Bottom line (& next steps)
While you can check your credit, look for errors, and dispute them yourself, it takes time (& hard work). Looking for an easier alternative? Consider working with a credit repair expert — like Credit Glory. They do the work for you, so you don't have to.
Why repair your credit w/Credit Glory vs DIY?
Removing inaccurate negative items helps improve your credit (& boost your score). DIY credit repair is a headache. Partnering w/Credit Glory is often a simpler alternative. Why?
- Easier - Making a mistake disputing DIY costs you. Credit Glory helps you build a strong case for disputing inaccurate collections (& boosting your score).
- Saves you money - An unsuccessful dispute leaves you stuck with debt (& poor credit). Credit Glory helps you boost your score — which means saving money on loans (& interest rates).
- Top-class customer support - Credit Glory has best-in-class customer service to answer questions and keep you updated. Credit Glory even offers an industry-leading 100% money-back guarantee (if no errors are removed in the first 90 days).
Bounce back from bankruptcy with help from Credit Glory
Disputing negative items on your credit report is hard work! It takes a lot of time, effort, organization, and follow up. The good news? Our team of credit repair professionals is here to simplify everything! Let your dedicated credit repair expert relieve you of the stress, hassle, and time needed to fight your inaccuracies and boost your credit score (FAST!)
Credit Glory is a credit repair company that empowers consumers with the opportunity and knowledge to reach their financial dreams in 2021 and beyond.
Call us at (855) 938-3044 or set up a consultation to get started, today!