Bankruptcy is a confusing subject for many of us.  Many Colorado Debt Help clients ask, “If I file Chapter 7 bankruptcy, will I be able to rebuild my credit?” The answer is, “Yes!”

A Chapter 7 bankruptcy may be an option for you if you have a lot of unsecured debt, receiving frequent collection calls, or about to get garnished. A Chapter 7 bankruptcy eliminates most debts such as credit cards, medical bills, judgments, mortgage deficiencies, collection accounts, and many other debts. Filing Chapter 7 will eliminate all debts except student loans, child support, overdue taxes from the past three years, and court-ordered restitution. The biggest benefit of filing Chapter 7 bankruptcy is that it only takes 90 days to get out of debt.

If Chapter 7 bankruptcy is your best solution, you may wonder if you are able to rebuild your credit.  And if so, how long it would take.

Yes, You Can Rebuild Your Credit After Bankruptcy

At Colorado Debt Help we provide advice about rebuilding your credit after bankruptcy.  You can rebuild your credit score after a Chapter 7 bankruptcy to 700 or higher in as quickly as twelve months after you file bankruptcy.  Why is a 700-credit score important? Because a credit score at 700 or above ensures you get the lowest interest rates when you buy a car, home or obtain a credit card.

It might surprise you, but the best way to rebuild your credit after Chapter 7 is to open three new lines of credit.  Many clients fear they will never get credit again, but guess what?  You will get credit offers after your discharge.  You’ll also be able to buy a car.  The key is using your credit responsibly.  For other great tips, check out “How to Build Credit After Bankruptcy” by credit.com.

Get a Free Consultation to Discuss How to Rebuild Your Credit After Bankruptcy

If you’re struggling to pay your bills and feel overwhelmed by your debt, call Broomfield bankruptcy attorney, Rob Fuicelli, at Colorado Debt Help who can help you decide if bankruptcy is your best option or whether there is another financial solution for you. The first appointment is FREE so get help now!