Life After Bankruptcy in Miami
Introduction to Life After Bankruptcy in Miami
For many individuals, bankruptcy may seem like a loss of their financial life rather than a practical solution to their economic issues. However, depending on your financial situation, bankruptcy could be the best decision. Our lawyers at Gallardo Law Firm will offer you a safe way to reestablish your finances, including your credit.
Many of our clients are surprised to see how quickly and easily they have fixed their credit after bankruptcy. In this article we offer a simple guide on how you can get new credit after bankruptcy.
You have a fresh start and new challenges up ahead. Though creditors will have you reported for 10 years, there is still a path to recover from each form of bankruptcy filed. You only need to commit yourself to not wasting the second chance that bankruptcy offers and protecting yourself against future financial calamities.
If during the bankruptcy proceedings the individual maintained some of the debts and continued to take responsibility for them, then he/she may be able to preserve the credit scores and future credit value in the eyes of the lenders. Furthermore, there will always be credit card companies that will issue credit after bankruptcy; after all there are no debts left.
This is the time to be responsible when handling debt all over again. This could be the second opportunity to do things the right way or the way back down towards a bankruptcy.
How to Obtain Credit after Bankruptcy in Miami?
Bankruptcy may last from seven to ten years in the credit history of the debtor; however, by getting new loans you can recover after bankruptcy. Those debtors who have filed for bankruptcy need to complete a number of activities to regain credit, here are some recommendations after bankruptcy in Miami.
- The first thing you should do is to continue paying all the remaining debts in order to preserve your credit score and at the same time create a reliable financial state. If you are under Chapter 13 bankruptcy, it is important to make payments within the schedule.
- After the first six months of filing bankruptcy, the client may request one of the banks a secured card (it is the official name for this type of card) where you deposit any desired amount of cash and this ensures a line of credit just for starters. Ensure that this new card can be used wherever you need it and that the transactions will be reported to all three major credit bureaus. You can also apply for a gas or a retail credit card; just make the payments on time. Try to avoid department store credit cards that might tempt you with items out of your price range. While taking on new credit and applying for a secured credit card can be a way to rebuild your credit history, you’ll have to judge just how mature you can be with handling debt all over again.
- You need to write a document explaining the reasons for filing bankruptcy and send it to the three major credit bureaus.
- After a short period of time, you may request a credit line. This can occasionally result in a higher interest rate than usual, but it is only because banks still feel a little insecure. Yet, this could change as soon as the institutions start receiving the payments on time.
- If you have properties such as a house or a car you can use it as your new credit insurance, this process is known as Home Equity Line of Credit (HELOC). For this type of application it is recommended to make payments in the set time, remember that your home is the collateral for the loan made.
- The client has also the option to apply for a new credit number called CPN, requested to the Department of Internal Revenue Service of the United States. This number works the same way as the Social Security, to thereby start a new credit history.
Recommendations to follow after getting credit
Gallardo Law Firm advises their clients to be responsible with their spending and payments after getting credit, in order to achieve the desired score credit. The clients must take into consideration certain details, such as:
- Waiting at least 6 months to reapply for other credit cards.
- Arranging payment reminders.
- Diminishing the amount of debt you owe.
- Paying the bills on time.
- Not opening a lot of new accounts too rapidly.
Freedom Debt relief after Bankruptcy Chapter 7
You must become extra careful about your finances after a bankruptcy. This is the time to create a budget and get serious about it. This will be your spending plan and prevent you from gaining unnecessary debts. You should also plan an emergency fund to deal with future or unexpected events.
One of the most powerful things to restore your finances will be paying your current bills as scheduled. Prioritize your expenses. Remember that missing a mortgage payment or rent payment can hurt your credit score since these payments are tracked by one of the major credit bureaus.
Lawyers have an important role in the process of financial crisis, providing innovative credit repair solutions and helping clients take action on their credit.
It is important to work from the beginning with lawyers in these cases, since they know the laws of Florida and help you restore your economy in the shortest time possible.
The Miami attorneys are committed to quality service; they will give you personalized attention throughout the entire process. They will help you understand the process of Chapter 7 bankruptcy and the benefits you may obtain from filing.
About Gallardo Law Firm in Miami
Gallardo Law Firm attorneys offer detailed Chapter 7 and Chapter 13 bankruptcy assistance to fit your particular situation.
Dedicated to quality legal services, our law firm will offer advice on which debts are eligible for discharge under the Chapter 7 or Chapter 13 bankruptcy laws. We will provide explanation about the difference between both bankruptcy chapters and how it applies to your specific situation.
Our office has public notaries for the legalization of necessary documents related to bankruptcy, consolidated credits and others.
Gallardo Law Firm and its bankruptcy lawyers will provide debt relief guidance to all their clients. Our lawyers have all the professional knowledge, follow the laws of the State of Florida and know how to handle the situation for you and your family after declaring bankruptcy. You deserve a new start. We urge you to meet with one of our attorneys who know how to handle this kind of situation and they will always keep your best interests at heart.