7 Tips for How to Rebuild Credit After Filing for Bankruptcy

Will filing for bankruptcy in Edmonton ruin your credit forever? No, this doesn’t need to be the case. You can do many things to rebuild credit after bankruptcy, and we share them with you today. In addition to these tips for rebuilding credit, we encourage you to contact bankruptcy and credit counselling services for more personalized help.

7 Tips for How to Rebuild Credit

Here are some of the steps to follow for rebuilding your credit after bankruptcy. 

Check your credit report

Did you know your credit report should display filing for bankruptcy rather than showing outstanding debts? Check your credit report to ensure it’s up to date while rebuilding your credit.

Pay your outstanding debts on time

Declaring bankruptcy might not resolve all your debts. For any remaining debts, keep paying them on time, or your credit will continue to suffer.

(Student loans can be one of those outstanding debts if you have not satisfied the waiting period. For more on declaring bankruptcy with student debts, read this post next.)

7 Tips for How to Rebuild Credit After Filing for Bankruptcy

Look for new credit opportunities

It can be more challenging to secure new credit after filing for bankruptcy, but some options are still available. Pursue these options to allow yourself to build new credit. But remember: paying your new credit off on time is more important than ever!

Maintain employment with the same company

Job hopping on its own won’t damage your credit score. But what it can do is make it more challenging for new lenders to approve you after filing for bankruptcy. Lenders want to see that you have steady, secure employment, which is essential for paying back your debts.

Pay your credit cards on time

Whether secured or unsecured debt you generate after filing for bankruptcy, keep making these payments on time too. Not only should you be sure to make the minimum payment, but do your best to pay off your credit cards in full each month. Otherwise, it will reflect on your credit report before long. However, if you can make total payments on time, this is a helpful step for rebuilding your credit.

Carefully consider new credit sources

After filing for bankruptcy, it might be tempting to apply for several new loans or credit sources so you can pick and choose from the ones that approve you. The problem is these applications can show up on your credit score. And if you have several denied loan applications on your report, you can imagine what this does to your credit score.

Be patient

Rebuilding your credit after filing for bankruptcy won’t happen overnight. It takes hard work, careful planning, and time to make it happen. But it can happen. Continue making intelligent financial decisions, including reaching out for credit and debt counselling services in Edmonton.

Learn How to Rebuild Credit with Professional Help

Rebuilding your credit without professional guidance can make the process even more challenging and lonely. The good news is that experienced credit and debt counsellors have seen it all and are waiting to share their expertise with you.

(Not sure if you need credit counselling? Here are six signs it’s right for you.)

When you choose Fox-Miles for your credit counselling services after filing for bankruptcy in Edmonton, we will help you rebuild your credit and help you achieve long-term financial stability. We take time to understand your lifestyle and financial habits to know how your current financial situation came to be. Most notably, we also focus on how to work together to improve your finances moving forward. 

Contact us today to schedule your first credit counselling appointment with our compassionate and professional team. 

Did you learn a lot from this post about how to rebuild your credit after filing for bankruptcy?