Life After Bankruptcy

You may see bankruptcy as the end of the road, financial ruin, but its actually the opposite. Bankruptcy allows you to regain control of your financial life. We know it is a second chance, a new beginning.

Over one million Americans filed for bankruptcy last year alone. With their lives free of the financial wreckage, they are able to sleep better, focus on their work and care for their families. You might think bankruptcy places severe limitations on life, but the ability to fund your most important needs, such as car loans and mortgages, return more quickly than you may realize.

Car, Education, and Home Loans after Bankruptcy

The waiting period after a bankruptcy for acquiring a home loan is short. The Federal Housing Administration (FHA) and participating lenders grant loans to individuals and families who are unable to receive a conventional loan. FHA loan rates are competitive with the market, and they become available for Chapter 13-filers after one year. If you file a Chapter 7 bankruptcy, the waiting time is two years.

Despite bankruptcy, you are eligible to obtain federal student grants and loans. Bankruptcy will have a positive effect on the plans you have for your future. And, you can still get a car loan.

Credit is more easily fixed than debt

I will continue to protect you long after a bankruptcy case has been filed. Creditors are legally obligated to change their pre-petition debt that was charged off to a $0 balance. Debtors should check their credit report after a bankruptcy discharge is granted and contact any creditor that is reporting the account improperly. If a creditor refuses to update their pre-petition debt to a $0 balance then our firm will file a complaint against the creditor under the Fair Credit Reporting Act. The creditors have a duty to report accurately, and the law gives a mechanism to ensure such accuracy.

Moving Forward from Bankruptcy

Credit-building strategies along with well-grounded financial management will help you quickly recover your credit score. If you are in the Philadelphia area and need help rebuilding credit, I can help. As a financial and legal advisor, I look to your best interest in the long run. Debt recovery is difficult, but you don’t have to do it alone. For a free phone consultation with an attorney, call my office at (215) 854-6342.

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