Chapter 13 bankruptcy allows debtors to make reasonable payments for a set time as a condition of having the majority of their debts cleared.
Chapter 13 repayment plans typically run for three to five years. If you’ve already applied for Chapter 13 bankruptcy or are considering filing within the next few months, you could be thinking about what you could do to repair your credit score. The attorneys at Tenina Law will be happy to answer all your questions regarding whether Chapter 13 can affect your credit score and ways to improve it..
Best Practices to Rebuild Your Credit During Chapter 13
Here are some of the steps you could follow to start rebuilding your credit when you are working on completing a Chapter 13 bankruptcy plan:
- Make use of a “credit builder” card or loan in order to establish a reliable track record of payments.
- Request an immediate family member or friend to include your name on their credit card from the past.
- Have an immediate family member or friend sign any loans you get.
- Check your credit report for mistakes and then challenge them if necessary.
Can I Qualify for Consumer Debt if You Are in a Pending Chapter 13?
Yes. Credit cards, car loans, as well as residential mortgage loans are able to be obtained in the Chapter 13 proceedings. The most difficult credit is a mortgage. However; it can be arranged when the bankruptcy case is in the process for some time.
Contact an Experienced Chapter 13 Attorney
If you are unsure about the filing of Chapter 13 bankruptcy or rebuilding poor credit, call the bankruptcy specialists at Tenina Law. We’ll address your concerns and offer clear guidance during your initial consultation. Contact us today to learn more.
This article was written by Alla Tenina. Alla is a top personal injury lawyer in Sherman Oaks CA, and the founder of Tenina law. She has experience in bankruptcies, real estate planning, and complex tax matters. The information provided on this website does not, and is not intended to, constitute legal advice; instead, all information, content, and materials available on this site are for general informational purposes only. Information on this website may not constitute the most up-to-date legal or other information. This website contains links to other third-party websites. Such links are only for the convenience of the reader, user or browser; the ABA and its members do not recommend or endorse the contents of the third-party sites.
